The saga of the Strohecker’s grocery store building continues, with the owners now looking to lease the property after a sale listing drew no satisfactory offers.

The Southwest Portland property is being offered for lease by Richard Freimark of Meridian Trust Real Estate Services Inc. Previously, it was offered for sale through Marcus & Millichap.

“We’ve simply been hired to find a grocery store operator for that site, and to provide a high-quality grocery experience for people who live in the West Hills,” Freimark said.

Strohecker’s served the surrounding West Hills neighborhood from 1902 to Jan. 31, 2016, when it closed. The store was known for a wide selection of high-end grocery staples and an impressive stock of wine bottles.

The property borders Portland Heights Park and carries a land-use restriction that it must be used as a grocery store; also, the existing 19,776-square-foot building cannot be expanded. The restriction dates to 1984, when the Strohecker family agreed to the provision with the city of Portland in exchange for permission to expand the building, and for a zoning change from residential to neighborhood commercial.

The agreement is now tying the hands of the current owners, who are trying to market the property.

“We’ve talked to the city about doing mixed use, and their response is right now you can only do grocery,” Freimark said.

A change in zoning would require the City Council’s approval.

The owners requested an informational meeting with staff from the city’s Bureau of Development Services on Aug. 24 to inquire about changing use. An attorney representing the owners said they were interested in removing the land-use restriction while retaining the underlying neighborhood commercial zoning.

The Southwest Hills Residential League is tracking the property’s twists and turns. The neighborhood association plans to discuss it at an Oct. 18 general membership meeting.

“Unlike most Portland neighborhoods, the Southwest Hills is a bedroom community with almost no commercial amenities, very low walkability scores, limited transit hours, steep hills between us and the nearest markets, and now no grocery and attendant services in the heart of our neighborhood,” Nancy Seton, president of the neighborhood association, said in an email message.

It’s important to neighbors that the property be used as a food retailer, Seton said.

At its height, Strohecker’s had a pharmacy, a liquor store, a fishmonger, a butcher, a bakery and an espresso service. It also included a post office.

Independent grocery stores have struggled to compete with fast-growing chains. Stores such as New Seasons, Zupan’s and Whole Foods have added competition for high-income customers, while Walmart and other large-format stores are in a cutthroat fight for budget customers.

The neighborhood surrounding the Strohecker’s property has favorable demographics: 57 percent of the population has a household income of greater than $100,000, and 64 percent of residents own their homes, Freimark said.

“It’s a strong enough demographic to support a high-end grocery experience,” he said. Strohecker’s formerly delivered to the neighborhood, making a grocery delivery service a good fit, he said.

The property at 2855 S.W. Patton Road is owned by Tim Sotoodeh and Southwest Hills LLC, based in Santa Ana, California. It includes the building and more than an acre of land. Records show Southwest Hills LLC purchased the property for $5.4 million in 2012.

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