Dénia holds UNESCO Creative City of Gastronomy status — earned largely on the strength of the red prawn (gamba roja) caught off the local coast, which is considered among the finest shellfish in the Mediterranean. You will find them simply grilled or split and flash-cooked in most of the better restaurants around the fishing harbour and the old town. The price reflects their reputation.
Rice dishes are the other pillar of local cooking: arroz a banda (rice cooked in fish stock, served separately from the fish used to make the broth) and arroz del senyoret (a cleaner version with the seafood already shelled) are the things to order. The restaurant Quique Dacosta, just outside town in Dénia, holds three Michelin stars; it requires advance booking and is firmly in the fine-dining category, but it has put the city on the international culinary map.
The old town and the port area have a good range of places at all price points. The Marqués de Campo, the main pedestrian street, is lined with terrace restaurants that are pleasant for lunch. For a quick local lunch, the market on Monday mornings near the town hall is a good place to pick up produce and eat informally.