Brass, Magi Eye November Start for $80M Office

Situated on 25 acres at Loop 1604 and Interstate 10 in the northwest submarket, the land will hold 420,000 sf to 500,000 sf when it's fully developed. Brass founder and CEO Rick Rodriguez says the San Antonio-based company's MO is to have a project 40% to 50% preleased before construction starts. He tells GlobeSt.com that about 50,000 sf of phase one is committed.

"We're planning different buildings designed for different tenants," Rodriguez explains. "In the first building, we're expecting smaller tenants, mainly 10,000-sf users." Another building will have larger floor plates and higher parking ratios, which will suit back-office users. The space is being quoted at $23 per sf, triple net.

Rodriguez says that the submarket is seeing a great deal of retail and residential development, but class A office space is at a premium. Additionally, he says the terrain, in some places, isn't conducive to development. "Going north on I-10, the east side is all flood plain," he explains. "On the west side, where we are, the property is an even grade, then jumps into rocky terrain. It's hard to find a track with a nice, gentle grade on the frontage. That's one of the reasons why we wanted this land."

Rodriguez adds that, while other developers have indicated they'll begin office projects in the submarket, "no one has frontage on I-10 and no one is doing class A, except for us."

Magi Real Estate Services is leasing the project. Magi Construction is the general contractor and designer.

Rodriguez says Brass Fund and Magi are moving ahead on other projects. He says 8.8 acres is under contract off US Hwy. 281 in Hill Country Village, just north of San Antonio. Once the land deal has closed, the company plans to put an office building on the site. Additionally, Brass Real Estate Fund Management will start construction later this year on a mixed-residential project on 52 acres in nearby New Braunfels.