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A trip to La Margarita is like a trip south of the border. They offer a full menu of authentic Mexican food, with highlights like ceviche and grilled carne asada. The real draw though is their huge list of tequilas. You can even take a tequila flight, where they give you a few different varieties with tasting notes for one low price. But if tequila's not your thing, they do also have a great selection of craft beers from around the country.
Way out on Washington Street, halfway between the Speedway and Downtown, there's a brief stretch known as Little Mexico. La Posada anchors the eastern end with a char-broiled menu of tacos, tamales and other south-of-the-border specialties. They serve breakfast, lunch and dinner, and all are delightful. Meats such as chorizo and al pastor are of a quality not seen often in the Midwest. The space itself is a bit hole-in-the-wall, but it's clean as can be, and sparse decor lets the diner better focus on the food. Be sure to wash it down with a cold Mexican cerveza.
The Tamale Place is the labor of love Angela Green, Leora Green and Vladimir Ronces. Opened in 2003, this is the place in town for delicious and authentic tamales. Their tacos, nachos and tortas are equally noteworthy. Hand-made daily, their cheap eats are worth the trip. Savor their dishes like Chicken Verde Tamale, Beef in Red Sauce Tamale, Poblano Chiles and Cheese i Green Sauce Tamale, Steak Torta and Spicy Chipotle Chicken Nachos.