I didn't attend UCSD but considered it. It's a strong residency program. As you say, it has a good reputation for research (though from what I've seen, this applies more to the medical school than the residency).
It's a well-rounded, solid program across the board. Like San Diego, it feels smaller than it actually is (which is a strength for some and a drawback to others). There's a good public hospital exposure, but Hillcrest doesn't feel like Harbor, SFGH, or LA County (which again is a good thing for some and not for others). There's a lot of VA exposure, but it's not as overwhelming as West LA VA. There are good opportunities for public psychiatry and working with the homeless population, moreso than UCLA-NPI or UCI, less so than UCLA-Harbor or UCSF. From what I've heard, the therapy training is pretty good.
I interviewed at about 14 or so psychiatry residencies and I can say confidently that Dr. Zisook was quite possibly my favorite program director I came across. Good vision, excellent interpersonal skills. The culture at UCSD seems strong. I'd have no reservations about attending there.