We went for lunch at the Quarter Cafe on the last day we were in Israel. I had a stomach bug and had been sick all night, so I was running to the bathroom and felt horrible. I knew I needed to eat, but I knew it had to be mild. They had some type of noodles, so I asked if I could have plain noodles. I told them my stomach was messed up. They instead made me rice and gave me hot lemon and ginger tea. It was so kind and was the first meal I was able to eat after being sick. The view from the top floor is awesome and it was just a really positive experience.
I often bring clients here while we tour the Old City of Jerusalem. This cafeteria style, dairy, kosher restaurant is away from the hustle (and out of the rain/heat) and offers stunning views of the Temple Mount/Haram al-Sharif as you dine. They are also fantastic to work with if you are looking for a group meal - either buffet style or even better family style - waiting when you arrive. Highly recommend.
You will pay a bit more than you might expect (USD 85 for lunch for 4) but the quality of the food is excellent, the staff are nice, and the view is quite nice. It's cafeteria style so you get a nice interaction with the server and opportunity to discuss the various dishes on offer.