San Miguel is definitely a magical place. Your write up captures the experience of traveling there very nicely. No question about it Nirvana is the top restaurant in town. Let's hope that the Times article doesn't attract too many additional visitors as I would hate to see San Miguel change too quickly and grow too big.
Make sure to have lunch in the Mercado next time you're there. You're missing out if you don't! And besides...it'll leave you with something to remember!