HOUSTON - Sitting in the shadows of Houston's office towers is an enclave that has caught the eye of a national organization that celebrates excellence in living.

"The fact that it can accommodate families and hipsters so successfully is a testament to the kind of spirit and good planning here," said Jeff Taebel of the American Planning Association Texas Chapter.

He is talking about Montrose. The American Planning Association calls it one of the nation's great neighborhoods for 2009. City Council member Sue Lovell accepted the award.

"It's been an incredible place for me to raise my family simply because we have great museums. We have great park space. We have good schools. We have the best restaurants in the whole city of Houston," Lovell said.

We all know Montrose as that 24-7 funky little village near downtown. It's a haven for great restaurants, antique shops, eclectic businesses, and liberal political expression. Its architecture is as diverse as its residents.

"People move in from all walks of life. The gay and lesbian community moved in here in the early 1970s and started to build up the civic associations. They joined with the long time residents who decided not to move to suburbs, but to stay here in their community, Lovell said.

"It's a lovely place and the squirrels are very spontaneous and they join us in their meditation," said Dave Stephens who was teaching two students the art of meditation in a Montrose park.

Montrose, it's not just a part of Houston. It's now officially one of American's great places.

"Anything and everything is right around this area. It's a great place to live. You are five to ten minutes from downtown," said antique shop owner Becky Pieniadz.