By the way it looked - completely empty - it was hard to believe the Italian-based Mercato had been named Philadelphia Magazine's Best BYOB of 2006 when we arrived to take an early, 5:30 p.m. dinner. But by 6:30 p.m., with the food out and every table now filled, it was easy to see why Mercato has been pulling in all the attention. It's simply that good.

Located quaintly on the 1200 block of Spruce and equipped for outside seating, Mercato's excellence starts from the beginning. Perhaps its greatest feature, Mercato offers several different olive oils to take with your bread, all of which are available by the bottle for take-out as well. We went with the combination plate, "Flight" ($5), which brings together two different types of olive oil, the house vinegar, a small serving of soft cheese along with a small bowl of olives, and tapped out servings of salt, pepper, and red pepper alongside it. The whole plate comes elegantly prepared atop one of the restaurant's trademark wooden plates, with the liquids arranged beautifully in three pseudo-shot glasses with stems, oil, vinegar, then oil again. We sampled the "Olave," an organic Chilean oil, and a thicker Sicilian oil, "Novello," both of which are excellent, taken alone, with vinegar, or splashed atop the cheese.

The appetizers are equally appealing. While the standard menu offers, among others, mussels and clams, a crab salad, and a Mercato Antipasti, the restaurant is known for its employment of fresh, seasonal ingredients, a distinction that makes its nightly specials all the more alluring. On our visit we especially lucked out, my date taking a plate of artichoke, cooked soft and dabbed with olive oil and pepper, and served alongside a mild but tasty sauce ($10). Meanwhile, I had the white peach salad, served over mixed greens with prosciutto, parmesan flakes, pine nuts, onions and tomatoes ($10). The artichoke was good, but when we traded plates, my date couldn't stop smiling.

The cuisine does seem to stumble slightly with its entrees, with smaller portions and blander flavors, but this does little to discredit the experience. We shared the grilled calamari atop cappelini ($19) and prosciutto-wrapped chicken breast ($17), and although neither amazed, both carry plenty of redeemable qualities. Served with olives, roasted red peppers, parsley, extra virgin olive oil and parmesan cheese, the calamari never fails to offer a novel taste and combination. Meanwhile, the chicken, stuffed with fontina, mushrooms and broccoli rabe, manages to put a whole new twist on the usually basic dish. Unfortunately, the concept exists better on paper than in execution, as the crispy prosciutto didn't quite seem to mesh.

Dessert offers all the standards, from tiramisu to cheesecake, but equally tempting is the gelato and sorbet ($3), available for take-out. Served in dainty, plastic cups, it's a perfect way to segue to the evening's next activity. Make sure, however, you've brought along cash, because not only does Mercato not take American Express, they don't take plastic at all.