Hey there,
You definitely have a good point about living in the city. I have lived in some major metropolitan areas over the past few years, but moving to NYC was a huge change and it took me a little bit to adjust to city life. I actually live in the student housing, which is only 14 blocks south of NYCPM. I walk to school in the morning and usually stay until 9:30 or 11:00 at night and take the school shuttle van back home. (14 city blocks is roughly a 15 minute walk.)
My classmates that live further from the school do rely on public transportation to get to class daily. I personally don't really see that as a bad thing at all. In some ways it's actually better than driving because even if you have a 1hr commute, you can actually use that time to study if you want, since you don't have to focus on the road. Even though I don't ride the subway everyday, I would say that it's definitely a huge convenience and probably one of the pros about living in the city.
NYC does have a lot of distractions, but to be honest we don't really have time to be distracted. Our schedule is pretty packed and we have a busy exam schedule. For example this past week we had a pathology exam on Tuesday and an Infectious Disease exam today (Friday). We also had a pathology lab quiz this week. On top of that, we take 3 labs this semester on MTW: path/physical assessment/lower.
I usually go out and enjoy what the city has to offer or twice each month to keep myself sane, lol. I like the fact that when I do want to go out, the possibilities are essentially endless. You can do everything from watching amazing broadway musicals to eating new foods to exploring new bars/lounges. We also have world-class museums and other more touristy attractions that you won't find anywhere else. As long as a student is smart about managing their time, they can definitely succeed. I have friends that go out more often than me, and they are doing just fine academically. It's all about finding a good balance that works for you.
With regards to the residency thing, I'm pretty sure you're right about NYCPM having a strong presence for the local programs (and yes, there are a ton). As for your question about programs that aren't on the east coast, I'm honestly not too sure. My theory is that the vast majority of people at NYCPM are from the tri-state area, so when they go into residency they have no reason to leave the area. If you are a competitive applicant and do an externship at the program, I don't see a reason why you wouldn't be able to match at a good program on the west coast. Personally, I plan on applying to west coast programs since I'm originally from Washington state and I went to undergrad in Los Angeles.
*edit*
For the residency match list, I'm not sure but I'll ask our dean of student services for that information.