I finally got myself out to visit Stitches, a new fabric shop that also carries yarn and books and patterns. It was very warm and friendly place, I loved all of the fabrics they had, and they have tables in the back where you can work on your stuff. They have classes too, and Little Cabbage was nice enough to share the schedule she got via email here.
Stitches is on Capitol Hill at 711 E Pike St. near the Honey Hole and Good Vibrations. It has a very happy green and pink exterior.