Wolf Capital Partners founder saw an opportunity in this damaged Heights property

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Wolf Capital Partners founder Zach Wolf said he likes to think he can spot a diamond in the rough, and the developer’s latest project was certainly rough when he set out to acquire it.

The retail property at 1133-1141 E. 11th St. was essentially abandoned after an errant vehicle crashed into the building in 2019, sparking a minor fire and leaving a gaping hole in the side of the structure. But despite the damage, Wolf thought the building still had a lot to offer. Once the well-known Decapo’s Pastry Café, the property has a prominent place in the neighborhood scene, Wolf said. And even with the damage caused by the crash, the building still has “good bones,” he added.

Wolf recently closed on the property and is preparing to embark on a renovation project that he hopes will restore the building to its former glory.

The Houston Business Journal spoke with Wolf about what attracted him to the property, what he plans to do with it and what his approach is for attracting tenants.

How did you identify this property as one you all wanted to acquire?

I worked for (Houston-based) Braun Enterprises for a while, but I left in 2019 to start my own business. During my time with Braun, I worked on about 15 projects in the Heights, so I am very familiar with the area. It’s such a great part of town.

This is one property I’ve always loved. It’s right at the intersection of Studewood Street and East 11th Street, so everyone who drives by can see it. It’s a great location.

About a year and a half ago, I drove by and saw it covered with a tarp. I reached out to the owner because it was somewhat obvious it was just sitting there. It’s a historic building that has an urban feel, which is something a lot of builders are trying to recreate these days. When you peel back the layers of the property, it’s really impressive. It’s more than 100 years old, so it’s irreplaceable. And it has all of the modern amenities right within walking distance.

How did you all approach the renovations, given the building has a great deal of damage?

We reached out to (Houston-based) Cisneros Design Studio to put some drawings together. But there was a lot of work that had to be done in terms of getting permits moved to us to make the repairs. Our approach was to use as much of the original material as possible. We should be hitting the ground running soon. We were really lucky because other than where the crash was, the rest of the building is in great shape. Our hope is to bring the building back to what it was before the crash. We want the project to be a smooth transition, something that makes sense for the neighborhood.

We should be starting the renovations in the next few weeks, and the hope is to have it done in the next few months.

Do you have any tenants lined up at this point?

It’s on the market for lease, and we’ve been negotiating leases with two tenants and are speaking with another potential tenant.

What is the biggest challenge facing the project?

The building is right on the street, so the biggest challenge will be navigating the traffic. We might have to shut down a lane for a while. But again, we were lucky that most of the building is still intact. Most of the work has to do with repairing the brickwork.

What is your vision for the project when it is completed?

We want to bring neighborhood amenities that the residents of Norhill and the Heights can patronize. The Heights is one of the most walkable neighborhoods in Houston. We anticipate families with strollers walking by because the neighborhood really caters to that lifestyle. I’d like to see multiple shops that really connects with the neighborhood, some retail boutiques and some sort of a food-coffee user.

What other projects are you all working on these days?

We’re in the middle of a renovation at 742 E. 20th St. We acquired that property in January. It’s very similar to this project. It began as an old building that needed some help. We’ve gone in to start the renovations, so the facelift is underway. We recently signed a lease with the School of Rock, as well as a barbershop and a flower shop. It’s a great location because it’s at the intersection of five streets, so it gets a lot of foot traffic.

This interview has been edited for clarity and length.

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Wolf Capital launches redevelopment of Heights retail building