A Central Texas developer has purchased a high-profile site on the edge of downtown Austin, according to public records.
The site of an IHOP restaurant at Interstate 35 and East Cesar Chavez Street was acquired late last year by WC 707 Cesar Chavez LLC, an entity that is linked to World Class Capital Group, according to the Texas secretary of state’s office. World Class Capital Group was founded by Austin developer Nate Paul.
A purchase price for the IHOP site was not disclosed. The Travis Central Appraisal District valued the .77-acre site at 707 E. Cesar Chavez St. at $8.1 million last year, up from $5.4 million in 2015.
World Class Capital Group did not respond to messages from the American-Statesman seeking details on what the company might have planned for the site.
The 4,633-square-foot restaurant building, which the appraisal district says was built in 1993, remains open for business. Several other Austin-area IHOPs have closed in recent years.
World Class Capital Group has acquired a number of high-profile sites in the downtown area in recent years, redeveloping the former Spaghetti Warehouse restaurant on West Fourth Street and the one-time home of Katz’s Deli on West Sixth Street, among other properties.
Outside of downtown Austin, World Class Capital Group acquired and rehabbed a shopping center on Research Boulevard and has invested in self-storage properties across the country.
The newly acquired IHOP site sits at one of downtown’s primary gateways, surrounded by a host of new construction. A block to the north, the 1,048-room Fairmont Austin Hotel is nearing completion. To the south of the restaurant is the Rainey Street neighborhood, where the Hotel Van Zandt and several bars and restaurants are up and running, alongside hundreds of apartments and condos.
Figures from 2014 from the Capital Area Metropolitan Planning Organization show that more than 200,000 cars pass along the stretch of I-35 bordering the restaurant each day.