If you’re a cross-border e-commerce entrepreneur, you’ve probably asked yourself: “Can China buy land in Texas?” It’s a question that has sparked heated debates, legislative action, and a fair share of misinformation. For sellers operating on Shopify, Amazon, or eBay, understanding this issue isn’t just about geopolitics—it’s about logistics, warehousing, and long-term business strategy. Texas is a hub for U.S. e-commerce fulfillment, with major distribution centers in Dallas, Houston, and Fort Worth. But recent laws have changed the rules of the game. In this article, we’ll break down the facts, the legal landscape, and what it means for your business.

The Short Answer: Yes, But With Restrictions

Let’s start with the direct answer to “can China buy land in Texas?” Technically, yes—Chinese citizens and companies can purchase land in Texas. However, in 2023, Texas passed Senate Bill 147 (SB 147), which prohibits “certain foreign governments, companies, and individuals” from acquiring real property in the state. The law specifically targets entities from “foreign adversaries” as designated by the U.S. federal government, which includes China. But here’s the nuance: the ban applies to real estate interests like agricultural land, military installations, and critical infrastructure zones—not necessarily commercial or industrial property used for e-commerce warehousing.

For a Chinese national or company buying land in Texas for a fulfillment center, the key is the purpose and location of the property. If the land is near a military base or a sensitive site, you’ll likely face a block. If it’s a standard industrial plot in a commercial zone, the transaction may proceed—but with new disclosure requirements. The law also requires foreign entities to register with the Texas Attorney General within 90 days of any property purchase, regardless of the zone.

“SB 147 is not a blanket ban, but it creates a complex compliance environment. For e-commerce sellers with Chinese ties, due diligence is now non-negotiable.” — Texas Real Estate Commission Advisory, 2023

Why This Matters for Cross-Border E-Commerce Sellers

As a seller, your supply chain is your lifeline. Texas offers low taxes, central U.S. shipping access, and massive warehouse capacity. But if you’re a Chinese-owned company—or even a U.S. LLC with Chinese investors—you need to understand how “can China buy land in Texas” affects your ability to lease, build, or buy logistics assets. Many sellers rely on 3PL (third-party logistics) providers in Texas, but owning the land gives you more control over costs and expansion. Here’s what the data says:

  • 43% of U.S. e-commerce warehouse capacity is in the South, with Texas leading in new construction (CBRE, 2024).
  • SB 147 applies to “foreign principal” if more than 50% ownership from a designated adversary country.
  • Exemptions exist for property under 10 acres (unless near sensitive areas) and for residential purposes under certain conditions.

So, can China buy land in Texas for a 50,000-square-foot warehouse? Likely yes, if it’s in an industrial park, no closer than 10 miles to a military base, and you complete the legal registration. But the process is slower and more expensive than it was two years ago.

Key Legal Barriers You Must Know

Before you write that check, let’s dissect the specific obstacles. The question “can China buy land in Texas” isn’t a simple yes or no—it depends on three factors:

  1. Land Type: Agricultural, timber, or ranch land is heavily restricted. Industrial, commercial, and residential are generally allowed, but require transactional scrutiny.
  2. Proximity: Land within 10 miles of a military installation, defense facility, or critical infrastructure (e.g., power plants, ports) is off-limits to Chinese buyers.
  3. Entity Structure: Even if you’re a Chinese individual living in the U.S., you must prove you’re not an agent of the Chinese government. LLCs with Chinese investors must disclose all beneficial owners.

In 2024, Texas also passed HB 534, which extends SB 147’s restrictions to leases of 50 years or more. This is critical for e-commerce sellers who think long-term land leases are a loophole—they’re not. If you’re planning a 55-year lease for a fulfillment center, it’s now treated as a purchase under the law.

Practical Steps for Chinese E-Commerce Entrepreneurs

Given the legal gray areas, how can you proceed? Here are actionable strategies for sellers who want to know “can China buy land in Texas”—and actually do it legally:

1. Work With a Texas Real Estate Attorney Specializing in Foreign Investment

Don’t rely on generalist lawyers. Find someone who has handled SB 147 compliance since its enactment. They can help you structure the purchase to avoid “foreign principal” triggers. For example, if your Chinese company owns less than 50% of a joint venture with a U.S. partner, the restrictions may not apply.

2. Consider a Long-Term Lease Instead of Purchase

Since the law targets ownership and long-term leases (50+ years), standard 5 to 20-year warehouse leases are untouched. Many Chinese sellers lease Texas warehouse space from American REITs (Real Estate Investment Trusts) without issue. This avoids the “can China buy land in Texas” headache entirely while still giving you operational control.

3. Use a U.S.-Based Entity With Minimal Chinese Ties

If you’re a Chinese national living in the U.S. with a green card, you can buy land as an individual—SB 147 primarily targets “foreign governments, companies, and agents.” Forming a wholly owned subsidiary under a U.S. LLC with a U.S. citizen manager can also reduce scrutiny, but beware of “piercing the corporate veil” investigations by the Texas AG.

4. Check the Texas Attorney General’s Annual List of Prohibited Parcels

Texas publishes a map of prohibited property zones (updated quarterly). Before bidding on any land, verify its proximity to military installations—including small National Guard bases. One seller we worked with lost $50,000 in due diligence fees because his warehouse site was 9.8 miles from a little-known radar station.

Data Point: How Many Chinese Land Purchases Have Been Blocked?

According to the Texas Real Estate Research Center (2024), only 12 transactions involving Chinese buyers were formally rejected under SB 147 in its first year. However, over 200 purchases were voluntarily abandoned after pre-approval reviews flagged potential violations. This suggests that while the ban is narrow, the compliance cost and fear of rejection are driving Chinese buyers away from Texas land ownership—toward leasing or other states like Georgia or Nevada.

For e-commerce sellers, this creates an opportunity: Texas warehouse lease prices have softened slightly due to reduced foreign demand (down 3% year-over-year in Dallas-Fort Worth as of Q1 2025). If you’re willing to lease instead of buy, you could secure better rates now.

Alternative States With Fewer Restrictions

If the answer to “can China buy land in Texas” remains too uncertain for your business, consider these e-commerce-friendly alternatives:

  • Georgia: No SB 147-like law. Chinese buyers can purchase industrial and commercial land freely, except near the Savannah River nuclear site. Atlanta is a top U.S. logistics hub.
  • Nevada: No foreign land ownership restrictions as of 2025. Reno and Las Vegas offer low property taxes and growing warehouse capacity.
  • Indiana: Strong 2-day shipping coverage for Amazon Prime. No state-level restrictions on Chinese land purchases, though federal CFIUS reviews may apply for large deals.

But Texas remains attractive for its lack of state income tax, pro-business climate, and massive seaport in Houston. If you must be in Texas, the leasing route is your safest bet.

The Future: Will Texas Tighten Restrictions Further?

In 2025, Texas Senator Lois Kolkhorst (author of SB 147) proposed additional legislation to ban Chinese