Tio Pepe has prospered since 1970, and considering this Greenwich Village hot spot is right in the middle of one of the most competitive restaurant neighborhoods in the world, it must be doing something right. It is, in fact, doing many things right.

Tio Pepe offers different strokes for different folks. Upfront, there’s a lively bar scene, a sidewalk cafe, exposed brick walls, bare tables of colorful inlaid tiles, peppy Latino music, and wall-to-wall young people. Patrons who walk through the restaurant’s main dining room and reach the skylight patio room in the rear enter a place of candlelight, stone and brick walls, a wood-burning oven, and romance.

In both rooms, and everywhere in-between, the fresh guacamole is made to order (hot, medium, or mild) tableside with a stone pestle and mortar, the homemade corn chips are warm, and the salsa is snappy. Starters to savor include: Sopa Castellana, a smooth, traditional Castilian garlic soup with poached egg and croutons; Gambas al Ajillo, sautéed shrimp with garlic, olive oil, and albarino wine; and Pulpo a la Piedra, Spanish octopus cooked over volcanic stone in their wood-fired oven with roasted, paprika-dusted potatoes. Jumbo pitchers of margaritas and the very good sangria are the order of the day.

And then there’s the rice. At many, perhaps most restaurants, rice is neutral at best. At Tio Pepe, the rice is not only impeccably cooked and moist, but it has a full flavor of a sort that has diners eating it not just because it’s on the table — but because it tastes good.

Also recommended is the Paella Valenciana, saffron-laced bomba rice with clams, mussels, shrimp, chicken, and chorizo; and Arroz con Pollo, saffron-laced bomba rice with chicken and chorizo. Other main courses we sampled included Chuletas Mayas — two humongous, tasty, center cut, charcoal-grilled pork chops with a guajillo chili adobo served with garlic mashed potatoes — and Fajitas, grilled steak, chicken, shrimp, salmon or vegetables, with tri-color bell peppers, tomatoes, onions, and lime. A la carte entrées cost as little as $16.

At dessert time, try the Arroz con Leche, traditional rice pudding with a toasted lime cream, or the caramel custard (flan) and Churros con Chocolate, served with molten chocolate, dusted with cinnamon — they’re extraordinary. So is Tio Pepe.

168 W. 4th St. btw. Sixth & Seventh Ave. So., 212-242-6480; tiopepenyc.com