If you are a restaurant owner, you probably want to get your restaurant into the Michelin Guide, it is an honor and more importantly it will definitely boost your sales. In Hong Kong, however, it could be a deadly kiss.
Joyful Dessert House Kai Kai, a 40 years old local desert shop was recommended by Michelin Guide 2016 in the newly added local food section, not even starred. The owner was delighted when he see his shop on the list, but not for long. He received a notice from the landlord shortly, asking for a 120% increase in rental for renewal next year, from HK$100,000 per month to HK$220,000 per month, the shop has to sell 11,578 bowls of desserts just to cover the rent.
Fortunately an old customer of Kai Kai, who is also a landlord agreed a much lower rent (HK$90,000 per month) at Ning Po Street, though it is 30% smaller. Kai Kai will be relocated to the new shop in March 2016.
The rental price in Hong Kong is high indeed but has been dropping since the economic contraction in China, the reason of the exaggerated rental increase is obvious.
Click here if you want to see the full list of Michelin Guide 2016 Hong Kong restaurants with address.