1Preheat oven to 350 degrees. Lighly butter a 3-qt. baking dish. Bring a large pot of salted water to a boil; add the potatoes and cook until tender 8-10 minutes. Drain the potatoes and return to the pot.
2Meanwhile, melt 2 tbsp. butter in a saucepan over medium heat. Stir in the flour with a wooden spoon to make a paste. Cook, stirring, until the paste puffs slightly, about 1 minute. Gradually whisk in both milks and simmer, whisking constantly, until thickened, about 3 minutes.
3Remove from heat and whisk in 1/2 tsp. pepper, 1 1/2 tsp. salt and the nutmeg. Pour sauce over the potatoes and gently toss to coat.
4Transfer the potato mixture to the prepared baking dish and sprinkle with the gruyere cheese. Bake until heated through, about 10 minutes. Switch the oven to broil the potatoes until browned on top, about 5 minutes. Let rest 10 minutes before serving.