Texas Attracts Top Companies and Their Jobs

Texas has always had a sterling reputation when it comes to business-friendly environments, but the past decade has seen this prestigious reputation reach new heights. With no corporate income tax and no personal income tax, Texas continually ranks as one of the best places for business. Coupled with a low cost of living, it is no surprise that businesses from all over the country are lining up at Texas’ front door. Within the last 10 years, there has been a mass influx of corporate headquarters and regional hubs fleeing high cost, high regulation markets such as San Francisco. With so many companies looking for a new place to call home, the Lone Star State has answered the call.

Company Headquarters in Texas 2020

Sources: Texas Economic Development Corporation, Fortune, Dallas Regional Chamber

According to Walker & Dunlop, the Dallas Fort-Worth Metroplex has attracted 137 new corporate relocations since 2019. This is a staggering number that reinforces the notion that Texas is a favorable place to conduct business. Some of these companies include high profile names such as Uber, Charles Schwab, McKesson Corp., and even the Professional Golfers Association of America (PGA). However, it is not just Dallas Fort-Worth that is enjoying this unprecedented surge of relocations. Walker & Dunlop also projects that Austin will have a record number of jobs created via corporate relocations in 2020. Through October, 28 relocating companies have announced over 9,000 new jobs coming to the Austin area.

DFW Employment Growth

Texas’ pro-business approach has been quite successful in attracting companies, with one of the largest effects of these relocations being growth in population and jobs. As mentioned in previous articles, people and jobs are the central drivers for an increase in multifamily demand. Walker & Dunlop states the DFW Metroplex has added over 1 million residents in the past decade and is projected to surpass the city of Chicago in population by 2030. In 2019 alone, Dallas Fort-Worth added over 120,000 new jobs to the region’s economy.

As we have seen over the past decade, companies are steadily choosing Texas as their new business home and forecasts show no signs of this trend slowing. Over the long run, the state’s lack of corporate and personal income taxes, along with a low cost of living, bode very well for the continual addition of people, jobs, and the demand for workforce housing grows ever larger.