The blaze was reported at 1:24 a.m. at Chez Spencer, located at 82 14th St., fire spokeswoman Mindy Talmadge said.
Firefighters responded and extinguished the fire at 2:49 a.m., Talmadge said.
No one was injured in the blaze, which caused about $780,000 in damage to the structure of the restaurant building and $400,000 to its contents, according to Talmadge.
The fire also caused $50,000 in damage to a residential building at 90 14th St. and $350,000 in damage to another residential building at 74 and 76 14th St., she said.
The cause of the fire remains under investigation, Talmadge said.
Chez Spencer, which opened in 2002, "will be closed for a while," according to the restaurant's Facebook page.
However, no one had to be displaced from the two residential buildings, Talmadge said.