Pan AM is known all over town for its freshly-baked bread and pastries, which put them on the map from the beginning as one of the city’s most exciting new bakeries. They also have good coffee and the “least sweet” Oaxacan hot chocolate in town (Normally hot chocolate in Oaxaca is a sugar bomb). The restaurant is packed most weekends, so come with the idea that you might have to wait a minute before being seated. Also on the list of favorites are the waffles covered in fruit and berries, and the chilaquiles. They also have sandwiches which are served at lunch time.