updated 01/30/2008 AT 3:25 PM ET
•originally published 01/30/2008 AT 4:50 PM ET
Katherine Heigl threw a very intimate birthday for husband Josh Kelley’s 28th Tuesday night.
The newlyweds started by gathering 10 close friends, including Heigl’s pal T.R. Knight, for dinner in a private room at hotspot Katsuya Hollywood. There they noshed on Heigl’s hand-picked menu of Kobe beef, rock shrimp, miso cod and spicy tuna on crispy rice.
“It was really important to me to celebrate Josh in a fun and intimate way,” Heigl, 29, told PEOPLE. “I just wanted tonight to be in an environment we both really love and we really love this place. This was the perfect combination of an intimate dinner with friends and a bigger thing at the bar where everyone can kick back and enjoy each other but it’s mellow.”
After dinner, the party headed next door to SBE’s S Bar to toast Kelley’s new album Special Company.
Guests – including Kelley’s band mates, Zach Braff, Haylie Duff, Brooke Burns, David Charvet, Kristin Cavallari, Shane West, Jonathan Schaech and Jamie-Lynn Sigler – mingled by the bar or danced, to a mix heavy on the ’80s tunes. Heigl drank champagne (Kelley sipped on vodka cranberry cocktails) while she roamed the tables and welcomed all their friends.
When she wasn’t playing hostess, Heigl and Kelley were playful with each other. “It’s been a great year… it’s been a really great year! I’m still getting used to that word husband,” says Heigl, who tied the knot with Kelley in December.
Just before midnight, the couple danced in the middle of the lounge to The Cars’ “Just What I Needed,” and Heigl wrapped her arms around her husband’s neck as they kissed. Capping off the evening: Servers brought out a chocolate cake lit with candles and the entire place sang “Happy Birthday” to Kelley – followed by another kiss from Heigl.