In a significant legislative measure, Texas has put into effect Senate Bill 17, a new law that forbids individuals, companies, and government-affiliated entities from China, Iran, North Korea, and Russia from purchasing or owning property within the state. This sweeping statute, which became active this week, is seen as a robust stance against perceived national security threats, affecting a range of real estate from residential homes to commercial properties and farmland.
State Senator Lois Kolkhorst, a Republican who authored the bill, has hailed it as “the strongest protection national security bill of any state passed.” The sentiment behind the legislation is rooted in incidents where land near sensitive military sites has been acquired by entities linked to the Chinese government. “We’re not going to have that anymore,” Kolkhorst stated, emphasizing the bill's intention to safeguard strategic assets.
The law is not without its exemptions. Foreign nationals from the specified countries who are in Texas on student or work visas are permitted to purchase a single-family dwelling for their own use but are prohibited from acquiring additional properties. Those found in violation of SB17 could face severe repercussions, including felony charges, imprisonment up to two years, and substantial fines.
The new Texas law is part of a growing trend, as it becomes the 24th state to enact some form of ban on foreign land ownership, reflecting the actions of states such as Florida which passed a similar bill, SB264. The Florida bill also encompasses Cuba, Venezuela, and Syria in its restrictions.
Despite the intended security benefits, the law has sparked controversy and legal disputes. Two Chinese nationals have initiated a lawsuit to overturn the law, arguing that it infringes upon constitutional rights and discriminates against immigrants. Legal director at the Chinese American Legal Defense Alliance, Justin Sadowsky, criticized the law as being more about political posturing than genuine security concerns.
Republican legislators, however, maintain that the security risks are genuine and point to instances of espionage, including a Chinese student convicted of flying a drone over a naval facility and another attempting to enlist spies in Chicago. Texas Republican Representative Brandon Gill highlighted the issue of state-sponsored spies among the substantial number of Chinese nationals on student visas in the United States.
The debate over the law reflects broader national security and foreign policy concerns, particularly regarding the influence of the Chinese Communist Party in the United States. With Texas taking a definitive step to close what Senator Kolkhorst calls "dangerous loopholes," the discussion around foreign ownership of American land is likely to intensify both within the state and across the country.