A little compression is almost always a good idea, but it's a totally different animal than "warming" via analog tape bounce. It's like the difference between trans fluid and oil, I's a good idea to use and maintain them both properly, but they serve two entirely different purposes. (Perhaps a little over-)simply stated, compression affects the dynamic range or envelope of the waveform - it squeezes out the total amplitude, whereas "analog warming" affects the shape of the waveform - it tends to smooth the shape of the waveforms without having a direct effect on the total dynamic range.
These other gentleman are indeed correct that a decent tube compressor can add a good warmth to the sound in a similar way that analog tape can. I personally use
the ART ProVLA, a real bargain at US$200. It has a sound similar (though not *quite* equal) to some tube compressors three to five times it's price. I consider it one of the best purchases I have made, honestly, when you rate it on a "bang for the buck" scale.
However, in my experience, the amount of "warmness" it provides is proportional to the level of compression applied, and also varies depending of the attack speed you have it set for. Put another way, to really achieve that "warmness", you have to apply a certain level and type of compression. As to whether the level of compression required to get the warmness you desire is the same as the level you want to actually compress is a crapshoot. This is not an issue with a quality open-reel analog tape machine Whiel there may be some level of compression when going to the tape because you may be reducing your s/n ratio by maybe 10 dB at best (on a good machine you're still getting >90dB s/n), that's far less noticable than running through a compressor at 2:1 or 3:1.
The truth is, its the "crap" introduced by the analog tape machine that provides the warmth; it's - technically speaking - a desirable form of "distortion". Of coure you have to make sure when you buy a used tape machine that it's well serviced; that the heads are in decent shape and properly aligned, that the capstan and pinch roller are in good round and have a good, tight flat surface, etc. But if you get a quality machine that has been taken care of and maybe even refurbished by a knowledgable tech, none of those need be an issue. I have used 30- and 40-year old tape machines that were in good order and gave excellent results.
Giganova, I'm not intimately familiar with the Otari model you describe, but I have used Otari products in the past, including an 8-track 15ips machine, and I have found them to be quality reliable products when kept in good maintenance.
I have also used VHS-HiFi and Betacam (not Betamax) for audio mastering (this was a common trick of mine in the days before the DAW). I'm not sure I can explain the technical reason why, but they just do not give the same analog "warmth" that the 1/2" open reels do.
G.