Bakehouse Restaurant and Bar

Since opening in July 1983 at 5404 Manchaca Road, Bakehouse offered diners dishes such as sausage chowder and South Austin Wellington, which consisted of chopped sirloin steak baked in puff pastry with mushrooms and cheese.

Zapffe said when the owners of Strange Brew Austin Coffee and Strange Brew Lounge Side offered to buy the space and renovate it for a new 24-hour cafe, he decided it was time to close.

"I couldn't do this forever, and it's a great opportunity," he said. "It's just so sweet the way it's working out for both of us."

Construction on a new 24-hour caf concept in the space will begin in July, and the restaurant will open in late 2014 or early 2015, said Shane Widner, president of South Austin Ventures LLC, which owns Strange Brew.

"Our working name is Southside Caf, but we plan to do a cash prize contest for the naming of the 24-hour cafe," he said.

Widner and Strange Brew President Scott Ward said they are honored to carry on Bakehouse's tradition of friendly neighborhood service in the space. There will be a 24-hour breakfast menu and a regular menu featuring Mediterranean-influenced dishes and vegetarian options at the caf, located down the street from Strange Brew.

"We're going to offer a wide variety of dishes; it's kind of a locavorian menu where most of the items will be locally sourced whenever possible," Widner said.

He added the company plans this year to renovate Strange Brew's 5326 Manchaca Road location, add an awning and landscaping to the patio, and expand Lounge Side, its music venue.

While Zapffe doesn't have plans for a new business venture yet, he did decide to take his employees who stayed until closing Bakehouse on a trip to Las Vegas in June.

"I tell people that the last time I had seven days off in a row was when I got married 21 years ago, and the last time I had five days in a row, I can't even remember that. So, I'm just going to casually look for opportunities," he said.

Bakehouse Restaurant and Bar, 5404 Manchaca Road, Permanently closed, www.austinbakehouse.com