TX LEG Foreign Adversary Real Property

Published on: Jul 9, 2025

On Jun. 20, TX LEG enacted bill limiting foreign acquisition of property.

  • TX LEG enacted SB 17/HB 17 on acquisition of real property by certain foreign entities.
  • Amends TX LEG 3-64-A-64.001, TX LEG 2-5-A-5.005, creates TX LEG 2-5-H.
  • Document dated Jun. 20, 2025, was added on Jul. 8, 2025 due to editorial backfill.
  • Bill Provisions
  • Prohibits organizations and certain aliens other than permanent residents from countries identified as posing a threat to the US from owning real property in Texas.
  • Countries identified as threats to the US include China, Russia, Iran, and North Korea.
  • Defines real property to include agricultural land or improvement on agricultural land.
  • Also includes commercial property, industrial property, groundwater, residential property, a mine or quarry, a mineral in place, standing timber, or water rights.
  • Does not apply to US citizen or lawful permanent resident or US owned company.
  • Requires the attorney general to establish procedures to examine a purchase or acquisition of an interest in real property and determine if investigation warranted.
  • Provides legislatively intended severability of provisions and every application thereof.
  • Legislative History
  • On Feb. 20, 2025, bill introduced in Senate; on Mar. 19, 2025, bill passed in Senate.
  • On Mar. 20, 2025, bill introduced in House; on May 9 2025, amended bill passed.
  • On May 30, 2025, Senate concurs with House; on Jun. 20, 2025, governor signed bill.
  • Effectiveness
  • This act takes effect Sep. 1, 2025.
Regulators
TX LEG
Entity Types
Bank; CNSM; MG Orig
Reference
Act, Bill SB17, HB17, 6/20/2025; Citation: *TX LEG* 2-5, 3-64-A-64.001, 2-5-A-5.005;
Functions
Compliance; Financial; Legal; Operations
Countries
United States of America
Category
State
N/A
Products
Banking; Corporate; Loan; Mortgage
Rule Type
Final
Regions
Am
Rule Date
Jun 20, 2025
Effective Date
Sep 1, 2025
Rule ID
261493
Linked to
N/A
Reg. Last Update
Jun 20, 2025
Report Section
US Consumer