Palacio Bar (popularly referred to as Palacio's) is among the best of the dive bars I've been to. Â It's comfortable, plenty of room and there's often music (corridos, mostly, I think) and dancing on weekends. Â It's walking distance to Mesilla Plaza and a few restaurants.
The crowd that frequents Palacio's is mostly working folks -- not students. Â Patrons seem to fall in age between 35-ish to 55-60-ish. Â I've seen a good-sized crowd of bikers there on weekends before. Â
My co-worker says they make a mean michelada.
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