Los Ranchos: steak house that is so good, it spawned a chain in South Florida. Has been popular with locals for lunch and dinner since the days of Somoza. During that time, the politicians on opposite side of the conflict would run into each other here on a regular basis. Service is impeccable. They serve a churrasco that is hard to beat for flavor and tenderness. Order it with a gin Martini for appetizer. Located about 3 blocks north of estatua de Montoya. $$.
La Plancha: Steak house at its best and finest. Dare you to try it and not say its one of the best steaks you ever had tried in your life. Their signature plate is the name of the restaurant: La Plancha. Comes with mashed potatoes and plantains on a hot grill. $$.
Le Café de Paris: the best French restaurant in town. Taken care personally by its proprietor and chef, Jeaninne. Very good wines. Ask for its famous foie gras, green salad and pepper steak. Located in Los Robles. $$$.
Asados El Gueguense: great local cuisine. Large selection of local meat dishes. [url=http://www.elgueguense.com/]Restaurant Website[/url]$$.
La Cocina de Doña Haydée: a good taste of local Nicaraguan cuisine. 3 Locations - Original off the Carretera Masaya km 4.5 (not far from Metrocentro), another near the Rotonda Bello Horizonte and the last in the food court at Metrocentro.
A good breakfast is Leche Agria - a homemade yogurt like drink. Look for signs advertising it in store fronts and pulperias. Put a little salt on it and eat it with tortilla.
Casa del Cafe for good coffee and breakfast. Three locations, one in Los Robles, one on the second floor of Metrocentro, and one in Galerias Santo Domingo.
Sushi Itto, in case you have a craving. Three locations, one in Carretera Masaya (in Plaza Familiar), one in Galerias Santo Domingo, and one in Plaza Caracol. $$.
La Cueva del Buzo - great seafood freshly caught. Must go if you can afford it $$$.
El Rincon Salvadoreno - fantastic Salvadorian pupusas and fruit juices in a pleasant outdoor area $
RostiPollos: specializes in roast and rotisserie chicken dishes, with sides such as salads and fries in a more Central American style. (The name "RostiPollos" roughly translates as "roasty chicken.") Entrees reflect traditional Central American cuisine.