One other question, for now, about the Directory plugin ...
For this set up, I like to put the location in the tag line section, right below the blog name.
Is there a way to add a tag line to this default theme? If not, I would like to suggest that change. You can always make it optional.
If I have not said it already, it would be super cool if there was a directory plugin to use with other themes, for example, Thesis, which I really like.
If this could not be done easily, it could be a good idea to add a design option such that the default theme could look more like thesis, or some other common, vanilla coloring (like NY Times or Craigs list) so that imitation sites are not so obvious.