I have, indeed! Saw a Penn-Princeton game there... sat about 8ft away from John Thompson. It's an amazing place to watch hoops... like stepping back in time 60+ years. Heck, they even have a tribute to Penn's NCAA Tournament win over the Huskers on the concourse outside the area (and tons of other history). Very cool place that I'd highly recommend any hoops junky visits at some point.
I will be in Philly in July for a day may look into it
It's right on the Penn campus, which is just off downtown Philly... and right next to Franklin Field, which is the old football stadium (1895) where the Eagles played long ago... and is still home to the Penn Relays, which is the oldest track and field event in the nation.
You'll have to see if you can get inside the Palestra... they probably have it open on occasion for tours.