Liao Fan Hong Kong Soya Sauce Chicken Rice & Noodle was one of two Singapore stalls that made history in July by becoming the first street food vendors to be awarded a Michelin star.
Chan said the new restaurant, to be called Hawker Chan, would open in mid-November just 100 metres away from his stand and that he would personally mentor its new chefs.
The 51-year-old, who has no plans to stop working at his stall, also promised that the price of a plate of his famed soya sauce chicken rice would remain at just 2 Singapore dollars (US 1.70 dollars).
Hersing Culinary, which also helped Tim Ho Wan, the Hong Kong dimsum restaurant previously dubbed the world's cheapest Michelin-starred eatery, to expand, said it had invested 1 million Singapore dollars into the new restaurant.
"Don't just think you are going to be a hawker for life, you are going to go global someday," said Chan.