The core of Sunny Day Real Estate formed in 1992, originally under the name Empty Set. Empty Set consisted of Dan Hoerner (guitar, vocals), Nate Mendel (bass), and William Goldsmith (drums). They released a 7-inch, Flatland Spider, before a tumultuous period of musical chairs and name changes. In that timeframe, Mendel took a break to tour with another band, Hoerner took over the bass, and the group was joined by Jeremy Enigk, a high school friend of Goldsmith.

Before long, Enigk ascended as the permanent frontman of the band. Where Hoerner's vocal style had been in the rougher, hardcore vein, Enigk's higher-pitched, somewhat strained vocal style added greater emotional depth to the band's songs. When Mendel returned, the complete band settled on the name Sunny Day Real Estate. They released another 7-inch, Thief, Steal Me a Peach in 1993.

In 2002, Enigk and Goldsmith reunited with Mendel to form a new band, called The Fire Theft, releasing their first self-titled album in 2003. While they had the option of retaining the Sunny Day Real Estate name, the trio decided that it was time to leave the past behind them and start fresh. (Mendel remains with Foo Fighters, joining The Fire Theft when his schedule allows it.)