Restaurants hit by soaring Hong Kong rents

A word to the wise: restaurant operators had better own their properties or they risk being at the mercy of their landlord.

Naozen, a well-known Japanese eatery in Central that is partly owned by chef Naoyuki Sato, closed last Saturday after the landlord decided to lease the property to a telecommunications company at a monthly rent of about HK$1 million.

That is three times the rent Sato was paying of about HK$300,000 a month. So, he had no choice but to close the premises he co-founded nearly a decade ago.

via Business feed http://www.scmp.com/business/article/1067524/restaurants-hit-soaring-hong-kong-rents