A new law banning foreign ownership of Texas land by individuals and entities tied to adversarial nations will take effect on September 1, as concerns over national security and foreign espionage continue to grow.
The Adversarial Land Ownership Act (SB 17), authored by State Sen. Lois Kolkhorst, R-Brenham, passed the Texas legislature with bipartisan support and was signed into law by Gov. Greg Abbott last month.
“For three years, I’ve worked to pass a bill to protect our land, homes, commercial buildings, water, timber, oil and gas, and rare earth materials from being bought up by foreign adversarial nations like China, Russia, North Korea, and Iran,” Kolkhorst said. “Texas is not for sale to our enemy countries.”
What the Law Does:
The law prohibits foreign governmental entities, companies, and individuals from countries listed in the latest U.S. intelligence Annual Threat Assessment from purchasing certain private properties in Texas. Those countries currently include China, Iran, North Korea, and Russia.
The restriction applies to:
- Agricultural land
- Commercial and industrial properties
- Water rights
- Oil and natural gas resources
- Rare earth materials
- Timber
The Texas Attorney General’s Office will have the authority to investigate violations and initiate divestment proceedings against prohibited entities.
Texas Joins National Trend
Texas now joins at least 22 other states that have enacted similar restrictions, including Florida, Alabama, Georgia, North Carolina, Virginia, and Wyoming. The movement reflects growing bipartisan concerns over foreign influence, particularly involving strategic resources and land near critical infrastructure.
Espionage Threats Drive Legislation
The bill follows heightened concerns over foreign espionage in Texas, including reports of Chinese secret police operations in Houston, Chinese spies arrested in the state, and increased illegal border crossings by Chinese nationals.
A notable flashpoint occurred in 2021 when it was revealed that a Chinese billionaire with ties to the Chinese military purchased over 130,000 acres near Laughlin Air Force Base, the nation’s largest pilot training facility.
In response, Texas lawmakers passed the Lone Star Infrastructure Protection Act, banning government contracts with companies owned or controlled by hostile foreign nations.
National Security Focus Grows
The passage of SB 17 complements broader efforts at both the state and federal levels to protect critical infrastructure and military sites. U.S. Sen. Ted Cruz introduced federal legislation targeting land purchases near military installations by adversarial nations.
Kolkhorst’s bill, modeled in part after Florida’s 2023 law, faced opposition from groups accusing it of racism, with some opposition allegedly fueled by social media platforms linked to the Chinese Communist Party, according to experts.
Despite controversy, Kolkhorst hailed the final version of the bill as the “strongest national security bill in the nation.”
The law takes effect September 1, reinforcing Texas’ message that its land and resources are off-limits to foreign adversaries.