Google labs: Search by Location

The latest integrated Google tool is up– Search by Location. The FAQ explains this is a way to put a geographic parameter aka limit on a search. Apparently, it pulls all the mappable data from the search and builds maps on the fly using Mapquest.
Here are some sample searches I did:
Devachan Hair Salon (my NYC hairdresser)–
This isn’t so great–The web site doesn’t pop up and the map looks wierd.
But a search for Dim Sum, Mountain View gives promising results
A request for Kayaking and Chicago gave me this, though it could not parse state names (maybe it is mapped to large cities to start).
When I searched for hotel, romantic in New York, the results I got were completely different than when I had Google search the web via the home page