The restaurant, which opened in April and served Western dishes, was described by Michelin as “graceful” and praised for its “clever recipes”.
However, neighbors living above the restaurant had complained of kitchen smoke and noise.
Taian Table – one of 26 restaurants in Shanghai to gain a star in the guide’s first China edition – said it would relocate.
It said in a statement: “Our idea and concept was to build a small place to entertain our friends and to have some foodies and chef friends around to create new and imaginative dishes.”
Taian Table added that it had never intentionally violated any rules.
It apologized to diners who had booked tables and said it was moving to bigger premises and would apply for all required licenses.
Residents told AFP they had petitioned to have the restaurant closed down.
“The noise is always there, with the stereo subwoofer vibrating. It’s so hot where we live, but we can’t open our windows,” said Zhang Fuzhen, who lives in the building.
Taian Table offered a 14-course menu and a 10-course menu, reportedly priced at 1,288 yuan ($193) and 988 yuan, including dishes such as grilled endives, lobster and Wagyu beef.
The restaurant was run under the direction of German chef Stefan Stiller, who has previously opened a series of restaurants in Shanghai.
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