There are two areas packed with cafés, restaurants and disco clubs:
Liszt Ferenc tér
next to andrã¡ssy ãºt, between opera and oktogon has several trendy restaurants and bars popular with tourists and locals; it's a nice place to stroll around while choosing
Ráday utca
starting from kã¡lvin tã©r, which is filled with restaurants.
Coffeehouses
Anna Cafe
Decent place for coffee and cake with mid-range prices, much like Starbucks. Anna is a chain of at least two cafes both at Váci u., maybe there are more. The one near Vörösmarty tér is always full of visitors even in winter time, however once a waiter was caught adding extra meal to a bill Jan 2007--just check your bill carefully. Latte is bit smaller than usual; by default there's little milk. Good selection of leaf teas; served in kettles about 2 cups in size. Free wifi internet access.
Centrál Kávéház
Centrál Kávéház is a very famous high-end coffeehouse. Recently renovated.
Gerbeaud
Budapest's most famous cafe, an incredibly ornate Rococo confection dating to 1858 and lavishly restored in 1997. It's also priced to match, but still reasonable value as the pastries, desserts and ice cream remain excellent. Hot chocolate is well worth a try.
New York Kávéház
This is the complete opposite of Buda's Ruszwurm: absolutely over the top ornate, shiny, dazzling. The New York has been a writer's haven for years -- before WWII writers would often come to "work" first thing in the morning, buy some coffee and write in the café all day until it was time to go home. This café was rammed by a Russian tank in the 1956 Hungarian uprising, and the damage has still not been repaired! Obviously, the Russians knew what would sting the most -- damaging a popular coffeehouse! A lengthy renovation was completed in 2006 and it's now back in business.
Gerloczy Cafe
Off of Vaci, away from the river, you'll find a small cafe, which is a nice place for coffee. During the warmer weather, have a meal at one of the outside tables.You can select your own two or three course menu from the daily specials; from appetizers, soups, main courses and desserts - available M-Th noon-3PM. 2 courses 1275 Huf, 3 courses 1600 Huf. On Fridays the Chef presents his seafood specialty while on other days of the week and weekends the Chef prepares a variety of daily selections. Live guest musicians, harp and accordion in the night time. In the daytime: fine jazz music, old and new school Latin and Mediterranean themes, a hint of bossa nova and samba. Free WiFi access.