The Internet company Cobalt Group Inc., fresh from its initial public offering, leased 75,000 square feet in developer David Zarett’s rehabbed Olympic Cold Storage building south of the Kingdome.

The deal turns another risky spec project into a likely success.

Cobalt, which provides Web services for auto dealers, will occupy the converted four-story building’s office space. Zarett said he has another tenant close to signing for the first-floor retail space. The 92,000-square-foot structure is at 2200 First Ave. S.

Brokers Tim Foster and Matt Christian of Colliers International represented Zarett. Parker Ferguson of Flinn Ferguson negotiated for Cobalt Group.

The project is also notable because it converted an industrial building in the Duwamish industrial area into offices, something industrial leaders are fighting to prevent as part of protecting the city’s vital industrial base.

 By JOE NABBEFELD