Does anyone have recommendations for great places for coffee and perhaps witnessing a barista make latte art?

Absolutely love Blue Bottle.
There are a number of them including one at Rockefeller Plaza and one adjacent to Urbo Kitchens at 42nd and 8th.

Not sure about "witnessing a barrista make latte art". I drink it too quickly to care about what the foam on top looks like.

Thanks for the recommendation, Neo. DD is a coffee junkie~we'll try this out!

By the way, there is also a Blue Bottle in Gotham West Market on 11th between 44th and 45th. If you haven't been there, it's worth a stop -- a sort of gourmet food court with a couple of shops as well.

There are tons of good coffee places....not only mom-and-pop shops, but in diners too. I recommend staying away from the corporate chains. There's some good coffee spots near Washington Square Park. Jump on Yelp and poke around.

johnnyinnyc, when you can find a cup of coffee that matches a great Blue Bottle Americano, please let me know. In most NYC diners, I don't even drink that stuff, but wait to drink my coffee later at a decent place (I'm NOT afraid of GREAT chains).
But I realize some people's taste in coffee is not the same as mine.

Try Ninth Street Espresso

http://www.ninthstreetespresso.com/#!about/cjbl

In Midtown East, try Pennylane (305 E. 45th nr 2nd). Always busy, especially since a laudatory NYT's write-up a few months ago.

Your two best options:

http://www.santambroeus.com/

http://maison-kayser-usa.com/

Enjoy!

I'm not a coffee drinker but have heard good reports about Fika…. a Swedish place on W 58 between 5th and 6th. (Their pastries were good - Convenient if your near Central Park.