Eyes on the ion

Station Houston CEO to lead operations at The Ion

The Rice Management Company has created a new operations organization for The Ion and has selected Gabriella Rowe to lead it. Courtesy of Rice University

A Houston innovation leader is switching sides of the table to support on a highly anticipated entrepreneurial hub.

Rice Management Company has created an operating organization for The Ion and has named Gabriella Rowe as the executive director. Rowe has served as CEO of Station Houston since August 2018. The Ion, which broke ground on the site of the Midtown Sears building in July, is expected to deliver early 2021.

"To ensure that The Ion is a catalyst for the continued growth of the innovation ecosystem, we've been collaborating with Gaby and her team as well as civic leaders, Mayor Sylvester Turner, Harris County commissioners and Midtown Houston," says Allison Thacker, president and chief investment officer of the RMC, in a news release. "We know that under Gaby's leadership The Ion will become an innovation hub for not only all Houstonians, but for anybody looking to thrive and collaborate in an entrepreneur-first, tech-forward environment."

Station was previously announced as The Ion's exclusive program partner, however that's no longer the case, according to the release. RMC plans to have a mix of incubators, accelerators, and startup development organizations within The Ion, and Station will be among that group. Per the release, an advisory board will formed to steer the innovation hub's programming.

"Collaboration is key to accelerating the growth of Houston's technology economy," says Harvin Moore, president of Houston Exponential, in the release. "The Ion will play an important role, serving the entire ecosystem as a place where those collaborations occur. Houston's incubators and accelerators, universities, corporations and venture capitalists will have a hub to leverage the innovation taking place all across the Houston region."

Station's newly named chief of staff, Stewart Cory, will oversee the organization until its new leader is named, and the nonprofit will focus on the needs of its startup entrepreneurs and growing its membership base, according to the release.

"It is a tremendous honor to be given such an incredible opportunity to serve Houston," Rowe says in the release. "I look forward to building partnerships and collaborations that will enable The Ion to engage and connect the innovation and startup community with Houston corporations and academic partners, to use the technology we're building right here in Houston to showcase our homegrown talent, and to create platforms for local entrepreneurs to take their offerings to new heights."

The Ion's early programming — like The Ion Smart Cities Accelerator, which launched last month — is being hosted out of Station's downtown location. According to the rease, The Ion expects to deliver more programming from its partner organizations — like the Houston Independent School District, the University of Houston, Houston Methodist, Pumps & Pipes and TXRX Labs — by early 2020.

The Ion is the first phase of the 16-acre South Main Innovation District the city is envisioning.

"The Ion, with Rice University's stewardship, represents the best of our vision for the future of Houston — one where a kid like me from Acres Homes grows up with access to the opportunities that innovation and technology represent," says Mayor Turner in the release. "I couldn't be happier that Gaby will be leading the Ion towards that vision and believe that she has the energy to help make this project a reality that will transform our communities."

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Correction: Early information sent to InnovationMap reported that Rowe was leaving her position at Station, but she will maintain both roles, according to a representative at Station.

gaby rowe Gabriella Rowe will lead operations at The Ion.

Houston small businesses are struggling to pay their rent with doors closed and operations ceased — but where should the relief come from? Getty Images

It's not too huge of an assumption to make that many Houston startups and small businesses failed to pay their rents in full yesterday. Since the city's stay-at-home mandate on March 24 — and even preceding that — most businesses have seen a slowdown of revenue as a result of COVID-19-caused business disruptions.

Business owners are frantically looking in their leases and searching online to see what rights they have and what sort of protection they have in such an unprecedented time.

"People are confused. They don't know what to do, and finding information is hard," says Meredith Wheeler, co-founder and chief creative officer of Sesh Coworking, which opened earlier this year.

Wheeler and Sesh's co-founder, Maggie Segrich, have created a petition to get on the radar of local elected officials to challenge them to pass legislation to protect small businesses in this time.

"At the end of the day, it would be so wonderful and idealistic to say that we could rely on the niceties and the moral compasses of our landlords, but it's probably not true for everyone and so that's why we need legislation to dictate what is right," Wheeler says.

But landlords are also in unchartered territory, says Josh Feinberg, who has worked in Houston as a commercial real estate broker and co-founded CRE tech platform, Tenavox.

"There's this idea that there's this acrimony between tenant and landlord, and I think, as a former broker, we're set up that way to get our side the best deal. But in reality, that's just not true," Feinberg says. "The majority of commercial real estate is owned by regular people — not usually some faceless, gigantic corporation."

And they have a piper to pay too, Feinberg adds. Ninety percent of CRE is owned by debt, he says. If the government steps in anywhere, it should be on the lender level, as well as creating some sort of tax relief.

"If there's any relief here, it's going to have to come from lenders, and I think you'd hear that from owners and brokers," Feinberg says.

In somewhat convenient timing, Tenavox has recently co-founded a new company that provides a bit of a solution for small businesses. Otso provides landlords with an alternative to cash security deposits. Traditionally, deposits are held onto by landlords — they aren't legally allowed to spend it unless the tenant defaults.

"In general, I think cash deposits are wasteful," Feinberg says. "It's critical capital that the business can hire with, invest, and use."

Tenavox teamed up with Euler Hermes, a 135-year-old credit insurance company, to create Otso, and the credit company backs the lease performance of each tenant that is approved by Otso. The transaction calls for a fee added to the rent, but no large cash deposit would be required.

The tool can be used on new leases, and, in light of the current situation, Otso can also be used to create an addendum in existing leases so that the tenant can get back their deposit and use it in this time of crisis. Either landlord or tenant can apply online and hear back that same day — Feinberg says he's focused on a speedy response to help get this deposit money back to the tenant.

"If we can get some liquidity back into the hands of the business, they have some a better chance of survival," Feinberg says.

Other than looking into Otso, Feinberg has some other recommendations for small business owners. He says they should be applying for relief from the Small Business Administration, which has more money to dole out than they have ever had. And, as it pertains to working with their landlords, communication is key. Show financials and specific information — like what March 2019 looks like compared to 2020 — so that landlords can take that to their lenders.

"An unprecedented crisis is going to require unprecedented solutions," Feinberg says.