Barrio de Jalatlaco

San Matías Jalatlaco is one of the oldest neighbourhoods of Oaxaca City, about a kilometre northeast of the Zócalo just beyond the edge of the colonial grid. Its cobbled streets are lined with lanterns and low adobe and cantera houses, many painted in bright colours, and it has become a favourite place to walk, with cafés, small restaurants, galleries and guesthouses. In March 2023 the federal tourism ministry named it a Barrio Mágico, the first in Oaxaca, under a programme created for neighbourhoods of state capitals, which the Pueblos Mágicos scheme cannot include.

The name comes from the Nahuatl Xalatlauhco, usually translated as "sand ravine". Local histories date the settlement to 1486, when the Aztec ruler Ahuitzotl stationed Mexica soldiers here, and it was already inhabited when the Spanish under Francisco de Orozco arrived on 25 December 1521. In colonial times the barrio was known for tanning hides and making saddles and leather goods. Its church began as a chapel to Santa Catarina Mártir around 1669; it was dedicated to San Matías in 1700, rebuilt in 1713 (the date carved over the main door) and worked on again in 1754. It has a single barrel-vaulted nave and a two-storey stone facade with unusual geometric carving, and was declared a historic monument in 1941. Old coquito palms shade its atrium.

Since about 2018 neighbours and artists have covered walls with murals, many on Day of the Dead themes, and a 2024 survey counted around 140 pieces; the city has argued with residents over whether they fit the rules of the historic zone. The barrio is known for its comparsa (costumed Day of the Dead procession) and its altars in early November.