Rega's DAC is the best $1k and under DAC that I've heard. I haven't heard every single one, but I've easily heard my fair share. Everyone's ears and idea of "musical" are different.
If you've got a Rega integrated and turntable, I'm pretty sure you like what Rega's idea of musical is. The DAC should be your starting point, and compare that one with others IMO. I haven't heard the Brio R, but my ears have told me many times in the past that Rega's strength is it's sources. Their other stuff is quite good, but their sources have always been far more of overachievers than their amplification and speakers.
I own the Rega DAC and love it. There are DACs out there that do hifi stuff a little bit better, but I haven't heard one near the price range do musical emotion and involvement like this one does. It's not the most detailed, biggest soundstaging, razor-sharpest imaging, etc. DAC on the market. It does all that stuff very well, but it's not the last word in any of it for the price. Rather than trying to do one or all of this stuff extremely well, it just focuses on getting the music right.
To my ears, it sounds like a great turntable. Not a slow, smoothed-over and warmed up turntable, but a very good turntable that let's the music flow.
I may sound a bit biased, but I didn't have to buy the Rega DAC. Could have bought anything in the price range. I bought it because it was easily the best I've heard in that range, and truth be known, it was a lot better than stuff I heard that was a good bit more expensive.
My Rega DAC is fed by an Apple TV gen 1. Think of it as a 160 gb iPod with optical output. If you have an iPod Touch, iPhone or iPad, you don't need a TV to control 99% of it's functions. It'll save you some money on the Wadia dock and is far more convenient and functional. They can still be found on Amazon, last I checked.