New Mexicans have fierce running debates about who has the best red or green chile... many would say that the top contender in both categories can be found at the Duran Central Pharmacy.
This place serves what was easily the best red chile I tried anywhere--even better than Mary & Tito's. The green chile I sampled was also the best I have ever tried, although I don't order it very often. Good, solid New Mexican fare at very reasonable prices--I had a beautifully seasoned beef burrito, wrapped in a lightly-toasted, ultra-fresh flour tortilla... it could not have been better, and it cost about eight bucks.
Skip the more touristy places and go for this local institution (or Mary & Tito's). Enter the pharmacy, and the counter area with a few tables is in the back.
Duran Central Pharmacy
1815 Central Avenue NW
Albuquerque, NM 87104