A vacant retail building at the edge of West Wash Park has sold.
Elkco Properties, which was founded in 1985, and the recently-formed ZS Capital Partners paid $8.3 million last week for the 20,000-square-foot building at 300 E. Alameda Ave., which was originally built in 1962 as a Safeway and has since been divided into four units.
The deal works out to $415 a square foot. Elkco Vice President Seth Elken told BusinessDen that the new owners plan to “invest pretty heavily” in both exterior and interior renovations.
“We’re hoping within a year that our first tenants will be in there,” he said.
The property’s most recent tenants were a gym and three restaurants: Larkburger, Einstein Bros. Bagels and Wild Eggs. But most of those have been gone for a couple years, Elken said, leaving just a drive-up KeyBank ATM in the parking lot.
The building sits on a 1.36-acre lot, but Elken said his company didn’t see it as a redevelopment opportunity.
“It’s not something that we think the city or the neighborhood would support,” he said.
Elkco, founded by Stephen Elken in 1985, owns about 3,000 apartments and 1.5 million square feet of retail space in Colorado and five other states.
ZS Capital Partners, meanwhile, is a new firm formed out of the recent merger of Spencer Pariser’s Strat Ventures and Derek Conn’s Zeme Capital. Earlier this year, prior the merger, the two companies paid $20.4 million for Lyric 39, an apartment building along Tennyson Street in the Berkeley neighborhood.
Praiser, whose firm also owns several apartment buildings near the Alameda site, said in a statement that West Wash Park’s retail “retail portfolio has yet to reach its full potential.”
The building was sold by multiple LLCs, which paid $4.3 million for it in June 2005, records show. SullivanHayes broker Courtney Key and JLL brokers Sam Zaitz and Jeff Feldman are handling leasing for the new owners.