If you want a classy place to spend New Year's Eve, check out Apoala, corner of 55th and 60th, in Parque Santa Lucia. Beware of one thing; although the outdoor seating is nice, that also is where the smokers are seated, and where the wandering vendors pester you. Other than that, the food and service both are excellent, and there may be music, but not guaranteed. It isn't cheap, by Mexican standards, but by US standards, very reasonable, considering the quality of the menu and the level of service. I prefer the seating inside.
For comparison, buena noche meals at a couple of notable restaurants here in Oaxaca City cost: 1200 MXN at Restaurant Catedral (a block north of the Alameda); but only 950 MXN at Hotel Marques del Valle (north side of the Zocalo). I estimated approx 5.000 people in the Zocalo last night, and more in the Alameda (plus the Alcala)
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