Aye it is.
I'm also enjoying a Khajiit Thug-like character at the moment. I ended up picking Khajiit mostly because the typical Khajiit "roadside robbers" that tries to extort money from you. Seems Bethesda enjoys putting Khajiit into this role.
I ended up noticing that indeed Khajiit make superb hand-to-hand fighters. Pitty the game offers very few opportunities to actually engage in extortion and bar brawls. I'll probably look for or cook up a mod that allows a bit more of this type of roleplaying. For the moment I get a mild kick out of a sprint tap that brushes past NPCs as if I just shoulder pushed them aside.

But seriously though... I think a Thug/Lowlife/Bar Dweler lifestyle mod is in order as soon as the CK is out with lots of goodies such as:
- Starting and/or getting invovolved in bar brawls and epotentially ending up in jail
- The ability to use dialogue options to extort money/valuables from NPCs that also use speechcraft to increase success rate and perhaps make the NPC too afraid to report on you, while also allowing for a fist fight if dialogue/speechcraft fails
- Drugs and Alcohol man... Drugs and Alcohol... and it's effects of course, like blurred vision and stat modificiation as well as an addiction system.
- Implied six with bar wenches a la Fallout 3
The game is not too bad allowing you to become this cat burglar, but it really lacks some options for the not-so-subtle style of street level crime.
Thieves Guild Spoiler
Spoiler I would enjoy alot more tasks like the one you get to talk to the 3 people that owe the thieves guild some money right before you get full admitance to the guild.