El Gato Negro (The Black Cat) is probably the most consistently recommended café and bookshop in San Juan del Sur. Part coffee house, part second-hand bookshop, part breakfast spot, it occupies a corner a block back from the waterfront and attracts a loyal crowd of expats and long-stay travellers. The coffee is excellent by Nicaraguan standards — proper espresso rather than the weak instant that still predominates in smaller Nicaraguan towns.
The food is café-style: good breakfast plates, sandwiches, and fresh fruit juices. It also functions as an informal information exchange, with notice boards listing surf lessons, boat trips, and other local services. The book exchange is genuinely well-stocked. Opens early and closes in the afternoon.