Anyone have experience as a developer in the Texas market?
Moving from the midwest to Texas in a few months. My partner and I are in the CRE and construction business and are planning on continuing that down in Texas. I've had a few people in my area warn me about doing CRE development in Texas but all warnings have been vague and unspecific. Anyone develop in Texas? Is it drastically more difficult or are there big differences from other markets? 

I know places like the northeast are extremely difficult markets to break into and there's a lot more legal and city hoops to jump through in the west coast but not sure how Texas stacks up for ease of developers.
[{"id": "g6y9x0j", "text": "Hopefully you won\u2019t to deal with the railroad commission, takes years..", "replies": [{"id": "g6yc956", "text": "As in the getting sign off from the railroad commission? Is that super common out there?", "replies": [{"id": "g6yecll", "text": "It\u2019s a weird name left over from when the organization started, but it\u2019s the group that regulates oil and gas in Texas (think pipelines).", "replies": [{"id": "g6ynils", "text": "Got it. Is it in an issue in the cities or more out in the suburbs. Trying to wrap my head around when the organization would get involved.", "replies": [{"id": "g6yns3a", "text": "It\u2019s really not a huge thing to worry about unless you have a pipeline running through your property. Texas is very friendly in terms of developing, especially compared to places in the north east or California. You\u2019ll be fine!", "replies": [{"id": "g6yomc4", "text": "Great thanks! Got a little spooked by the comments of some people I really respect who have a lot more experience in real estate than I do. But then again, I'm in the middle of the heartland and it seems like successful real estate happens everywhere.", "replies": [{"id": "g6yoyi9", "text": "Where are you planning on looking to do projects in Texas?", "replies": [{"id": "g6yqd3p", "text": "Central Texas. Setting up base in the Austin area.", "replies": [{"id": "g6yqqn4", "text": "Oh cool, you\u2019ll have lots of options because it\u2019s growing so quickly there. \n\nOne tip is that if you\u2019re doing commercial projects in the suburbs, then many of the local cities will consider providing incentives if it\u2019s a good project (Austin won\u2019t). Google the economic development groups in the area and you should find helpful information.", "replies": [{"id": "g6ytmkb", "text": "Good to know. I am use to doing projects with economic incentives so good to know that Austin doesn't offer any (makes sense). That was something that was on my list but I haven't gotten around to researching all of the different municipalities in the area and their individual city processes and incentives.", "replies": [], "depth": 10}], "depth": 9}, {"id": "g6zoitu", "text": "I\u2019ve financed billions in construction loans all over the country, and written construction loan policy and procedures specific for Texas. With that said, Texas isn\u2019t *that different*. \n\nIt\u2019s my experience that people providing vague, unspecific, and unhelpful advice need some peanut butter for their jelly (jealousy) or whatever might be going on with them personally. Advice/warnings that can\u2019t be articulated shouldn\u2019t get much thought IMHO.", "replies": [{"id": "g70fwxp", "text": "Good to know. That\u2019s what I\u2019ve been wondering. I think development is already a difficult industry and people have a hard time with anything that makes it more difficult, when in reality that\u2019s just part of developing. \n\nI hope it\u2019s one of those things where every city and state has its quirks and you just need to figure out how to work around them.", "replies": [], "depth": 10}], "depth": 9}], "depth": 8}], "depth": 7}], "depth": 6}], "depth": 5}], "depth": 4}], "depth": 3}, {"id": "g6yf5hp", "text": "Project I was working on was near lake Houston, my business partner was the expert on it but yea, he thought is was pretty common.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "g6ybwzu", "text": "It\u2019s extremely competitive because of foreign money, competitive advantages are everything.", "replies": [{"id": "g6yc67w", "text": "Got it. More so than other large cities?", "replies": [], "depth": 2}], "depth": 1}, {"id": "g6yeo7s", "text": "I\u2019ve been the lawyer to develop over $500 million. It is easier than CA harder than Alabama. I don\u2019t have any specific warnings. What type of project? City?", "replies": [{"id": "g6yo0qv", "text": "Starting homebase in Austin but I'm familiar with developing at a distance. Central Texas is probably the specific location. \n\nI don't have a specific project yet. We are starting general contracting and then jumping off the the construction company to fund development. That's how we've done it currently. We are familiar with multifamily, senior living, hospitality, and office. \n\nIs it the city process that makes it more difficult than other places or is it the connections and breaking into the market?", "replies": [{"id": "g6ytvfz", "text": "Travis county is a pretty difficult county. But that\u2019s relative to the state. If you\u2019re experienced I don\u2019t foresee anything stopping you.", "replies": [], "depth": 3}, {"id": "g70e61w", "text": "I am not involved with CRE directly but I know people that have built commercial in Austin. My understanding is the inspection process is long and difficult relative to other major markets in the state. \n\nI am a SFR investor interested in making the pivot to CRE located in a different part of the state. DM me if I can be of any assistance, I would be happy to trade errands / chores for opportunity to learn about the business.", "replies": [], "depth": 3}, {"id": "g79fi8z", "text": "Yes, it is the City of Austin that is the challenge. If in the area, look at the suburbs, mostly north and northeast. A lot easier to work with (CRE Broker here).", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "g6z39hf", "text": "Austin is probably the most expensive and difficult market. Dallas and Houston are easier with likely better margins. What type of development have you done?", "replies": [{"id": "g6zcs09", "text": "This \u261d\ufe0fI have been told the same. Austin can a headache. Houston is a little less restrictive.", "replies": [], "depth": 2}, {"id": "g6zfxww", "text": "Expensive makes sense. I\u2019ve read up on that. Is it a difficult market due to city process or lack of city support?\n\nI have done multifamily, senior living, office, retail, and some civic work.", "replies": [{"id": "g6zj84b", "text": "Austin is a very difficult city due to high prices, extreme competition, and the permitting process is complex and lengthy. There are some special considerations that have been passed over the decades in the city of Austin that are not common in other places (oak trees over certain circumference are protected, impervious coverage mandates, etc). \n\nThere has been such a huge influx of investment that you really have to have an inside track or very deep cash pockets to compete.\n\nI saw someone else in the comments mention the Railroad Commission, which it is unlikely that you would have to deal with them. As the other commenter said, they handle \"common carrier\" permitting (pipelines) and infrastructure projects of similar nature. \n\nThat being said, because Texas is SO friendly to oil and gas its not unlikely that a pipeline might be (inappropriately) granted eminent domain and a pipeline might run across your property without your consent - significantly lowering the value. Honestly, as things have been going lately, while it's unlikely that this could happen its not impossible so good to have in the back of your mind.", "replies": [{"id": "g70ff9t", "text": "This is all really helpful. I do wonder how the city process is compared to other places. I hear about certain cities having horrible city processes but then again it\u2019s difficult everywhere (or not so bad depending or your mentality I guess). \n\nWould you say it\u2019s just the city of Austin that is difficult to develop in or all of Texas?", "replies": [{"id": "g72ls13", "text": "My understanding is that the city of Austin is more difficult just because there is SO MUCH development going on right now.", "replies": [{"id": "g73d9zk", "text": "That\u2019s part of the reason for starting home base in Austin. My business partner is going to running the construction side of things as a 3rd party GC while I try to get my bearings on the development environment. So a lot of development happening is both a pro and a con in my case.", "replies": [{"id": "g79feje", "text": "I'm a CRE Broker in Austin MSA. Austin proper is a nightmare as far as city permitting. I've heard of similar experiences in Bee Caves, Lakeway, and Cedar Park (not first hand, so can't confirm). Pflugerville, Round Rock, Hutto, Georgetown, Leander and Liberty Hill are MUCH easier to work with. Also, Pflugerville/Hutto/east Round Rock is where the development is  heading or already under way. \n\nToo many people hear of the horror stories about City of Austin and immediately discount the entire MSA. Avoid Austin proper and it shouldn't be nearly as bad!", "replies": [{"id": "g79u81m", "text": "Thanks for the advice! I\u2019m used to developing urban infill so my inclination would be to start developing right downtown but I\u2019m also in a much smaller city right now. I\u2019ll stay away from Austin proper. \n\nWould love to meet up when I get down there.", "replies": [{"id": "g7blsxn", "text": "Downtown Austin is absolutely insane for trying to develop these days (past several years, not just 2020). A big part of it is differences in political ideology and how that plays into future land use planning (green space &amp; parks vs. high rises &amp; commerce).\n\nAbsolutely! Send me a message on here when you get in the area if you want to grab (socially distanced) coffee and talk CRE.", "replies": [], "depth": 9}], "depth": 8}], "depth": 7}], "depth": 6}], "depth": 5}], "depth": 4}], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "g700kev", "text": "come to san antonio", "replies": [{"id": "g70fxxv", "text": "Definitely not opposed hah", "replies": [{"id": "g71o9qn", "text": "San Antonio is one of the sleeping giants for Real Estate Development in the country.\n\nBexar County has a population of approximately 2 million people, and is expected to add 50% more people in 20 years.\n\nShoot me a message if you'd like to know a bit more.", "replies": [], "depth": 3}], "depth": 2}], "depth": 1}, {"id": "g708gwm", "text": "I\u2019m not sure how familiar you are with Houston but with no zoning laws it\u2019s kind of a neat concept to a city. From the GC perspective, down here the hardest thing to deal with are the utility companies, but I\u2019m sure that\u2019s everywhere. I built a high rise down town and we didn\u2019t have any issues with permits etc. at least nothing out the ordinary. COH senior inspectors are actually pretty good about helping you achieve TCOs as long as they understand your process and trust you. Houston is behind on the multi family projects and talking with one of the larger Arch firms it\u2019s been a hot bed for them to continue to go up. We have a couple big multi family projects going up / on the horizon but even with them and others it\u2019s about 5 years behind. Office space is still being built but it\u2019s leaning heavy towards multi family at the moment. We are doing a couple decent sized mixed use projects within the loop but you better be prepared to pay an arm and a leg for it. I would suggest looking at the Energy Corridor area, it\u2019s blowing up and you\u2019ll be running the same area as some large O&amp;G companies who could help with tenant space staying full in multi family.", "replies": [{"id": "g70gegv", "text": "Super helpful advice. I have heard about Houston\u2019s nonexistent zoning laws. Kinda the gold standard around the country. Especially when my city ended up passing a design based code that started to dictate a lot of design options. Made me wish I was down in Houston. \n\nUtilities are always holding up our projects as well so I think that might be an everywhere thing. Glad to hear everything sounds pretty standard. Get on the inspectors and city\u2019s good side and you won\u2019t have much of an issue. Thank you for your input i really appreciate it.", "replies": [], "depth": 2}], "depth": 1}, {"id": "g711lcy", "text": "Texas markets are the best to develop in. Period.", "replies": [{"id": "g71oacq", "text": "What makes you say that?", "replies": [], "depth": 2}], "depth": 1}, {"id": "g79gzer", "text": "Everyone and there mom is coming to tx", "replies": [{"id": "g79u9k9", "text": "Which is good and bad for developers.", "replies": [], "depth": 2}], "depth": 1}]