Gentrification Is Gutting Roma and Condesa: 50% of Restaurants Don’t Survive Two Years

Gentrification in Mexico City, beyond transforming daily life in its most emblematic neighborhoods, such as Roma and Condesa, has profoundly altered the area’s economic dynamics: rising rents, services, and consumer prices have created an increasingly hostile environment for local businesses, especially restaurants.

According to the National Chamber of the Restaurant and Seasoned Food Industry (Canirac), commercial rents in these neighborhoods have risen by up to 40 percent, resulting in almost 50 percent of the restaurants that open in the Roma and Condesa neighborhoods managing to survive for more than two years.

The president of Canirac in Mexico City, Jack Sourasky Olmos, points out that gentrification forces the closure or relocation of businesses that cannot absorb the increase in rent or the new operating costs. Although there is no official record of closures directly related to this phenomenon, the real estate pressure is evident.

“This transformation has meant the closure or displacement of businesses that cannot absorb higher rents or new operating costs. There is no official record quantifying how many restaurants have closed, exclusively due to gentrification, but we do know of cases of establishments that have had to relocate or close their doors due to rent increases and real estate pressure,” said Jack Sourasky.

In neighborhoods like Roma and Condesa, commercial rents have skyrocketed, making the permanence of many establishments unviable.

Added to this is the rise in the prices of basic supplies due to inflation, as well as the need to comply with stricter regulations: land use permits, health licenses, civil protection protocols, and, in the case of alcohol sales, special licenses that involve lengthy and costly procedures.

However, the Roma and Condesa neighborhoods are home to 108 Michelin-starred restaurants, 21 of which have earned one star. Notable establishments include Rosetta, Em, and Esquina Común, which have become international benchmarks for contemporary Mexican cuisine.

This culinary success has brought benefits: increased private investment, infrastructure improvements, a diversified cultural offering, and an increase in tourism. However, it has also generated social and economic tensions.