San Antonio, TX. Magi Real Estate has announce their first ever Office Space Giveaway.  On November 18, 2009, at Area Thirty-One Lounge, Magi tenant and San Antonio Celebrity Priest Holmes will be drawing on company from a list of registrants and award 18 months of free office space at the Brass Professional Center, a $68,000.00 value.  The winning company will have the opportunity to sign a lease for any length of term and for any size space and receive the first 18 months for free for the first 2,000 RSF of space.  Companies may register for the drawing at Magi headquarters at 10010 San Pedro, Suite 450 or at The Magi Real Estate services website: www.magifreespace.com

The Office Space Giveaway will kick off a New Tenant Stimulus Package that Brass Funds has initiated to deliver much needed cash flow to local businesses.  New Magi tenant have the option to receive several months of free rent, paid moving expenses, or voice and data services; and in some cases, all of the above.  "It makes sense for everyone," articulated Ryan Harrison, Vice President of Leasing Services for Magi Real Estate.  "We started a campaign three years ago call ‘Your Success is Our Business,’ and we only succeed as Landlords if our tenants succeed in their respective businesses.  The Tenant Stimulus Package is just an extension of our values as a landlord."  Ryan believes this approach has been paying off, as each of the buildings in thier San Antonio portfolio of properties has recently climbed in occupancy.

About Magi Real Estate Services

Magi Real Estate Services provide acquisition, leasing, property management and construction services for Brass Real Estate funds and other non Brass properties.  Magi was founded in 1991by CEO Rick Rodriguez.

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San Antonio Business Journal – by Tricia Lynn Silva

Locally based brokerage business Magi Real Estate Services is carving out some collaborative space in one of its office properties — as a means of serving some of the Alamo City’s smaller tenants.

A special lease on Magi’s inaugural co-working space was signed earlier this week at The Atrium, which is located at 85 N.E. Loop 410 in North Central San Antonio. The 1,000-square-foot space will be occupied by three companies — a total of roughly eight people — according to Erik Darmstetter, founder and CEO of SalesBy5.

The firms will share expenses on the space — as well as pooling their resources together for the benefit of all three businesses.

With this first collaborative office now spoken for, Magi is moving forward with a second such suite — this one spanning 3,100 square feet. The larger space will feature three private offices, a large conference room and a view of the main runway of the San Antonio International Airport.

The idea for the spaces came courtesy of SalesBy5 — a San Antonio-based sales consulting agency that specializes on messaging, branding and marketing.

“That’s our job, to keep them on the cutting edge,” Darmstetter says.

The idea was received positively by Magi Founder Rick Rodriguez. From there, Darmstetter and his firm went about plugging the concept on high-tech social networking community Twitter.

The Atrium is owned by Brass Real Estate Funds, an investment vehicle founded by Rodriguez back in 1996. To date, the real estate investor has used this fund to accumulate a portfolio of more than 2 million square feet of commercial space — valued at some $230 million.

Magi provides the leasing, property management, development and construction services for the Brass Funds assets.

Initially, Rodriguez had explored setting up the new small-tenant spaces in another Brass Fund property — 10010 San Pedro, also in North Central San Antonio. Damstetter points out, however, that the Atrium had several amenities it could bring to the concept — including a cafe. There was also Magi’s “incredible relationship” with the nearby Holiday Inn — which has stepped up to provide transportation to and from the airport for Atrium tenants, as well as special prices on rooms and food.

Status report

According to the second-quarter 2009 issue of the Business Journal’s Commercial Real Estate Journal, The Atrium spans a total of 133,350 square feet, and is presently 87 percent occupied.

A property like The Atrium is reflective of Rodriguez’ investment tactic — to purchase assets that have an upside in terms of rental and occupancy rates.

It’s a strategy that Rodriguez has used several times over — both here and in Longmont, Colo. Through Brass, Rodriguez has a diverse pool of investors at the ready — a mix of private and institutional partners.

And given the state of the office market these days, more assets with upside potential could soon be up for grabs, notes Rodriguez, who continues to be on the lookout for his next opportunistic buy.

While the Alamo City office sector has proven more stable than many other markets, the country’s still anemic economic fundamentals are not making recovery efforts any easier.

According to the latest National Office Outlook by Phoenix-based Marcus & Millichap Research Services, the high cost of new construction — from the land, to labor, to material costs — is effectively discouraging speculative development around much of the country.

The good news: Less spec space will make for a quicker turnaround in the country’s office markets.

The bad news: Heavy office-based employment losses has led to a diminished demand for space — which will continue to negatively impact rental rates.

Meanwhile, a buyer/seller disconnect — as Marcus & Millichap calls it — and financing constraints have resulted in a dramatic slowdown in sales transaction velocity. It’s an ideal scenario for well-capitalized buyers like Brass, Rodriguez says.

“Given the problems being confronted by many of today’s … commercial property owners, we expect the deal flow to increase substantially,” he says.

Magi Real Estate has hired Mario Gonzalez to be the Vice President of Acquisitions and Development. Mario’s primary role is to secure development and acquisition investment opportunities for Magi Real Estate Services and Brass Real Estate Funds. Magi will focus its acquisition efforts on opportunities that are forming from today’s changing market environment. The company is currently active in Texas, Florida, Colorado and Utah.

Mario Gonzalez was previously the Vice President of Development for Koontz McCombs, where he was active in generating and facilitating the company’s multi-family development activities, including financial and market feasibility, construction financing, dispositions and site selection. Mario is a graduate of Texas A&M University, with a Master’s Degree in Land Economics and Real Estate. In addition, he was awarded a Bachelor’s of Business Administration from Sam Houston State University. He is a member of the Society of Texas A&M Real Estate Professionals and holds a Texas real estate license. Mario has completed more than 1500 hours of commercial and residential real estate appraisal. In December of 2004, Mario was a recipient of the San Antonio Business Journal’s 10th annual 40 Under 40 Rising Stars of San Antonio’s business community.

Rick Rodriguez, the founder of local real estate investment firm Brass Real Estate Funds, has created a new investment vehicle — one designed to take advantage of opportunities in the current recession that has soured real estate markets across the country.

Known as the Brass Opportunity Fund, the venture will focus on purchasing “quality real estate assets from owners facing liquidity traps caused by the upheavals in today’s credit markets,” Rodriguez explains.

While Rodriguez declined to name his financial partners or the amount of money currently available through the new Brass Opportunity Fund, he does say that the goal is to create a fund that will own about $100 million worth of real estate properties.

To that end, Rodriguez has already set his sites on three markets: Pensacola, Fla.; Salt Lake City; and San Antonio.

High on Rodriguez’ list of desired assets for Brass Opportunity are office and multifamily assets. He says he is also open to industrial properties and raw land purchases as well.

Sign of the times
Brass Opportunity marks the latest investment fund for Rodriguez, who founded Brass Funds in 1996. Over the course of the past 13 years, Rodriguez has accumulated a portfolio through these funds that boasts more than 2 million square feet of commercial real estate — valued at some $230 million.

While San Antonio has been a hot spot for his investments, Rodriguez has also been active in other cities, such as Longmont, Colo.

Each fund targeted for real estate investments is set up as a limited partnership, with Rodriguez serving as the general partner for the partnership.

Brass’ partners in the funds include both private and institutional investors.

It is this diverse pool of investors that Rodriguez believes gives Brass Funds an advantage in the down real estate market. While the current credit squeeze has created a serious capital issue for many owners, Rodriguez already has access to an established network of investors.

Case in point is Horsham, Pa.-based Capmark Finance Inc., which has partnered with Rodriguez on deals such as the Brass Professional Center. The office park spans 80-plus acres along Loop 410 and Callaghan Road in Northwest San Antonio.

The Brass Professional Center — formerly known as Centerview Crossing — is an example of the kind of value-added properties through which Rodriguez has created a name for himself. Since purchasing the complex in 2006, Rodriguez has remodeled several of the office structures, installed a 60-foot tall color LED display sign and added new monument signs for the park.

He also sold off about 10 buildings in the park to locally based HPI Real Estate Services & Investments. Those buildings will be demolished to make way for a new retail center by HPI, to be called Centerview Crossing.

Local brokerage firm Magi Real Estate Services provides the leasing, property management, development and construction services for Brass Funds’ assets. Rodriguez is also the founder of Magi.

Capital catalyst
It’s not just real estate owners feeling the pinch in this recession. Potential investors have also been hampered by the credit crunch. Investment activity within San Antonio’s commercial real estate sectors has come to a screeching halt.

It’s not a lack of interest that is plaguing the city. In both the office and industrial sectors, there are “interested buyers waiting in the wings,” notes Kimberly S. Gatley, senior vice president and director of research for locally based NAI REOC Partners.

The trick is finding the capital to make these deals happen, she adds.

It’s a market that is ripe for “well capitalized buyers” like Brass, Rodriguez says.

“Given the problems being confronted by many of today’s developers and commercial property owners, we expect the deal flow to increase substantially,” Rodriguez says.

Magi Construction was awarded the construction contract for renovations and additions to the Universal City Police and Fire Departments. The project, worth $1,345,000.00, started October 27th. The police and fire departments will both remain in 100% operation during the planned 182 calendar days of construction.

The Universal City Police Department portion will include extensive renovations and a 4,200 square foot addition. Two new jail cells will be added along with a patrol room, EOC Training rooms, and new offices. The Fire Department will receive a 1,300 square foot addition plus renovations. The addition to this building will consist of the new living quarters and new bathrooms. Magi Construction’s Vice President of Operations, Chad Steinmetz, says his team is “proud to be chosen to work on this project, given the competition. We look forward to exceeding the expectations of the Universal City Fire and Police Departments.”

Ongoing concerns
Company seeks to help credit unions with disaster backup
By Tony Kindelspire
Longmont Times-Call

LONGMONT — Inspiration can come from many sources. The idea for a company new to Longmont was inspired by the anthrax attacks in Washington, D.C., shortly after the terrorist attacks in 2001.
Now, Ongoing Operations has brought that idea to the Creekside Business Park in Longmont. The Maryland-based company has opened a disaster recovery data center here that will serve credit unions throughout the Western United States, not just with data backup but with physical space.

Along with data-storage equipment, the location features office space where credit union employees can be relocated temporarily to maintain their company’s operations if a disaster prevents them from using their own facility.

“Within about 10 minutes, they can sit down and be fully functional,” said Kirk Drake, Ongoing Operations’ CEO.

Drake explained that the idea for the company came out of the anthrax attack on the Hart Senate Office Building.

In Washington, many federal agencies have their own in-house credit unions. When anthrax was discovered in the Senate building, the credit union there was deemed non-essential and shut down for nine months, Drake said.

He and technology officers at other credit unions — he was working as a chief technology officer at the time — got together and realized they needed a way to keep credit unions running even after a disaster. Three years ago, several credit unions founded Ongoing Operations; now, 17 credit unions have a stake in the company.

The 9,000-square-foot Longmont facility, which will employ three to five people, will serve as the 24-hour backup hub for its clients in the Western United States, Drake said.

A smaller data center is online in Portland, although it doesn’t have constant backup capability as the Longmont site does. The original location in Hagers-town, Md., continues to serve everything east of the Mississippi.

The company has several temporary office locations spread out around the country.
Denver-based Bellco Credit Union is one of about 100 of Ongoing Operations’ clients, Drake said.
“They’re our first (locally), and we’re actively selling into about 10 others in Colorado right now,” Drake said.

A ribbon cutting was held with local dignitaries Tuesday morning to introduce the company to the community.

Juri Valdov, the chairman of Ongoing’s board, said Longmont was chosen for several reasons. It was far enough away from Denver so that if a disaster struck there, the Longmont location would likely be less affected. Yet Longmont is only 45 minutes by car from Denver.

Valdov also cited the available space at the Creekside Business Park, where the company has room to expand, and the cost and reliability of electricity in Longmont. American Honda Motor Co. also considered the latter in deciding to build a $25 million, 61,000-square-foot backup data center on Clover Basin Drive.

Already, Ongoing’s new Longmont site is at about 80 percent of capacity, Drake said.

From San Antonio Business Journal — Tricia Lynn Silva, September 12, 2008

Locally based Magi Real Estate Services is making a bold, eco-friendly move in its San Antonio office properties.

Magi has teamed up with another home-grown firm — Compass Recycling — to provide recycling service to a total of 18 properties that it leases and/or manages in the Alamo City.

Compass’ containers will be located in each office property — making it easier for tenants to recycle.

“This move by Magi could be a huge step for the city,” says Matt Dirienzo, president and founder of Compass Recycling. “My hope is that it will jump-start the change in the attitude, in terms of recycling (in the office market).”

Magi Real Estate was named among the 2007 CoStar Top Ten Leasing firms in San Antonio. Magi Real Estate’s Vice President of Leasing, Ryan Harrison, was named a 2007 CoStar Power Broker Award Winner, a very prestigious award. This award recognizes Ryan as one of the industry’s top performing commercial real estate professionals.

CoStar Group, Inc. is the number one provider of information services to the commercial real estate industry, and Real Estate Forum magazine, the industry’s leading news magazine. CoStar Power Broker Awards, now in its sixth year, recognize brokerage firms and individual brokers based on data at each year’s end. This data is taken from the companies and brokers in the markets CoStar covers, as well as company or individual broker volume of commercial property sale or leasing transactions in the CoStar database.

From San Antonio Business Journal — Tricia Lynn Silva, July 25, 2008

Brass Real Estate Funds has sold a 24,376-square-foot office and warehouse building at 4202 Dividend to Corpus Christi-based Kennedy Wire Rope & Sling Inc.

The purchase price was not disclosed.

Kennedy Wire, a leading supplier of wire rope, rigging hardware, slings and other oilfield and lifting products, also has plans to occupy the building once the current tenant — Australia-based Leisure Pools — moves into its new headquarters/manufacturing facility in New Braunfels later this year.

Located on the city’s East Side, 4202 Dividend will give Kennedy Wire space to add to its stock of products for its customers throughout Central Texas.

The firm has been active in the San Antonio market since 1998.

Brass Real Estate Funds was founded in 1996 by Rick Rodriguez, who serves as president of the investment and real estate development company.

Each fund for a property purchase or development is set up as a limited partnership, with Rodriguez serving as the general partner for each LP.

The real estate assets in the company’s portfolio are valued at more than $200 million.

The Dividend property was one of three buildings purchased under a Brass Real Estate Fund partnership that also took ownership of The John Smith Medical Building in Northwest San Antonio and The Atrium in North Central San Antonio.

The John Smith property was sold in 2006.

At present, there are no plans to sell the remaining asset, The Atrium.

The Dividend building sale is the latest deal for Rodriguez — the man behind several large-scale investments in San Antonio’s office market.

One of his latest projects is Brass Gateway, a new Class-A office development that is expected to feature more than 500,000 square feet of space.

The project will be spread out over several buildings that will circle a prominent public space featuring waterfalls, eating areas and outdoor conference rooms.

Brass Gateway will be located on 25 acres of land off of Interstate Highway 10 and Heuermann Road on the city’s far Northwest Side.

Rodriguez says the development will serve as the “formal gateway into San Antonio from the West.

Contact: Erik Darmstetter 210-403-3916 – July 7, 2008

San Antonio, TX — Magi Real Estate Services has teamed up with Compass Recycling to provide recycling to all 18 of their properties in San Antonio, with in-office recycling service and pick-up. Until now, no company has brought in recycling at such a large magnitude, focused on multi-story buildings with custom indoor service. Unique for San Antonio recycling, Magi is bringing Compass’ containers into each office, making it simple for each tenant to recycle.

At this time, Magi Real Estate is Compass Recycling’s largest customer. Matt Dirienzo, President and founder of Compass Recycling says “This move by Magi could be a huge step for the city. My hope is that it will jump-start the change in the attitude of office buildings in San Antonio, in terms of recycling.” Magi is the first large commercial real estate company in San Antonio to make all of their properties green.

About Magi Real Estate Services

Magi Real Estate Services provide acquisition, leasing, property management, and construction services for Brass Real Estate funds and other non Brass properties. Magi was founded in 1991 by CEO Rick Rodriguez. For more information, visit www.magirealestate.com.

About Compass Recycling

Compass Recycling was founded in 2008 by Matt Dirienzo. Compass Recycling offers a FREE office paper recycling program and discounted services to Magi tenants. They offer recycling for many paper items, such as envelopes, junk mail, file folders, white paper, newspaper, magazines, and colored paper. Additional services include Document Destruction for confidential information. For more information, visit www.compassrecycling.com.