As a matter of fact, there's a myriad restaurants in the city to chose from.
* Is this sentence correct?
Yes. But the situation where you are using this sentence is important. here when you said "myriad restaurants in the city", there has to be a sentence of an insignificant mentioning of myriad restaurant before you use the above sentence.. that is, it's some useless fact that is being told just to picture the situation and nothing important. In detective/murders mystery works this sentence is worth noticing.
As a matter of fact, there's a myriad restaurants in the city to chose from.
Is it true that this sentence is grammatically correct?
I would say: a myriad of restaurants.