Kraggy's Cafe, or just "Kraggy's", is one of the few truly respectable businesses on Honshi Street, at least, so long as you aren't inclined to question the origin of what you are eating. Kraggy's serves delicious, inexpensive, and extremely greasy breakfast all day, and attracts customers from throughout the district looking for a bite to eat. The most notable of these is a section of the Republic City Police Department, who are regulars, and enjoy the fact that the cafe is close enough to their assigned territory to be able to quickly respond to a call, but far enough away to act as a safe haven. As a result, Kraggy's is surprisingly secure, but some are always quick to point out that this has not reduced the levels of crime on the rest of the street, suggesting some measure of corruption in the local police force. The cafe is named after its owner, a proficient earthbender who originally made his name in the pro-bending ring, but later retired to a life of fine food and cooking.

An assortment of benches, booths, and tables are spread about for patrons to eat at, though these are often in need of wiping down from previous use.

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