Your Trusted Houston Commercial Real Estate Brokerage

Viking Enterprise LLC is part of eXp Commercial, an agent-led, cloud-based commercial real estate brokerage with agents across the globe.

Your Trusted Katy / Fulshear & Houston Commercial Real Estate Brokerage

Viking Enterprise LLC is part of eXp Commercial, an agent-led, cloud-based commercial real estate brokerage with agents across the globe.

Looking to invest, buy, sell or lease? We can help.

Looking to invest, buy, sell or lease? We can help.

OUR FEATURED TENANTS & CLIENTS

eXp Commercial - Viking Enterprise Team's real estate network provides unparalleled commercial real estate services to Tenants and Landlords around the Katy- Houston area. Our knowledge, experience, and reputation sets us apart from many firms.


A commercial property owner might have various plans that would necessitate the services of a commercial real estate broker. Some of the common scenarios include:

1. Selling the Property: If the owner decides it’s time to sell the property, a commercial real estate broker can help determine the market value, market the property effectively, and negotiate with potential buyers to get the best possible price.

2. Leasing Space: For property owners looking to lease out part or all of their commercial space, a broker can help find suitable tenants, negotiate lease terms, and ensure the lease agreements meet all legal requirements and serve the owner’s best interests.

3. Acquiring More Properties: Owners looking to expand their portfolio would benefit from a broker's knowledge of the market, access to listings, and negotiation skills to secure additional properties at favorable terms.

4. Property Management: While not all brokers offer this service, some commercial real estate brokers or their affiliates offer property management services. This can be particularly appealing for owners who prefer a hands-off approach or are managing properties from a distance.

5. Market Analysis: Owners considering future developments, renovations, or rebranding of their property might engage a broker for a comprehensive market analysis. This helps in understanding current market trends, the demand for different types of spaces, and potential returns on investment for various strategies.

6. Refinancing: In situations where a property owner is looking to refinance their property, a commercial real estate broker can provide valuable insights into the property’s current market value, assist in gathering necessary documentation, and even help in finding the best financing options.

7. Partnership or Investment Opportunities: Owners interested in exploring partnerships, joint ventures, or seeking investors for expansion or development projects might use a broker to find and vet potential partners or investors.

8. Consulting on Zoning and Use Changes: When contemplating a change in the use of the property or dealing with zoning issues, a broker with experience in local regulations and the specific property type can provide guidance and strategic planning assistance.

9. Exit Strategy Planning: For owners looking to plan an exit strategy from their investment, whether it’s through a strategic sale or a gradual winding down of operations, brokers can provide market insights, timing advice, and valuation services to optimize the exit process.

In any of these scenarios, the expertise and services provided by a commercial real estate broker can save the property owner time and money, while also providing access to a wider network of potential buyers, tenants, and industry professionals. Give us a call today!

Reviews

🏢 “Texas vs. California: Why Investors Are Choosing Texas Commercial Real Estate in 2026 🌟🤝”

🔥 “Why Out-of-State Investors Are Fleeing California for Texas CRE 🚀🌵”

December 01, 20253 min read

🔥 “Why Out-of-State Investors Are Fleeing California for Texas CRE 🚀🌵

🏢 “Texas vs. California: Why Investors Are Choosing Texas Commercial Real Estate in 2026 🌟🤝


Why Out-of-State Investors Are Leaving California for Texas CRE

California has long been seen as the “gold standard” for real estate wealth — but over the past few years, a massive shift has been unfolding. Investors from Los Angeles, San Francisco, San Diego, and Sacramento are selling their properties and redirecting money straight into Texas commercial real estate.

This isn’t a temporary trend. It’s a structural migration driven by tax strategy, affordability, better returns, and business expansion opportunities. Texas now ranks among the most popular destinations for 1031 exchanges, corporate relocations, industrial expansions, and owner-user real estate acquisitions.

Here’s why investors are betting big on Texas CRE — and why this trend is accelerating into 2026.


1. Texas Delivers Higher Cash Flow and Better Cap Rates

California cap rates for industrial, retail, and multifamily have compressed for years. In many markets, 3–4% cap rates became the norm. Texas, however, still offers 5.5%–7%+ cap rates, depending on the asset class and metro.

For investors who need cash flow — not just appreciation — Texas delivers significantly better returns.

Texas markets outperform on:

·Net operating income (NOI)

·DSCR loan qualification

·Cash-on-cash return

·Rent growth stability

·Tenant demand diversity


2. Texas Has No State Income Tax

For high-income investors and business owners, this factor alone is a game-changer.

A California investor can pay 13.3% in state income taxes — the highest in the country.
Texas investors pay zero.

That difference dramatically improves:

·1031 exchange rollover value

·Asset holding returns

·Depreciation benefits

·Passive income performance

When investors run the math, Texas wins almost every time.


3. Lower Operating Costs Create Stronger Investment Performance

Everything costs more in California — insurance, utilities, labor, permitting, impact fees, and contractor availability.

Texas gives investors:

·Faster development timelines

·Simpler planning approvals

·Lower rehab and construction costs

·Better landlord-tenant laws

·More business-friendly policies

For builders and developers, this is the difference between a project working — or failing.


4. Explosive Population & Corporate Growth in Texas

Texas is absorbing population faster than any other state. The growth of Katy, Fulshear, Houston, San Antonio, Dallas–Fort Worth, Austin, and surrounding suburbs is driving:

·New industrial demand

·Retail expansion

·Medical office development

·BTR and multifamily growth

·Land value appreciation

California continues losing population — which directly impacts occupancy rates, rent growth, and long-term investor confidence.


5. 1031 Exchange Buyers Get More for Their Money

In California, a $2M property might produce $60K–$80K NOI.
In Texas, that same $2M can generate $120K–$150K+ NOI.

When exchanging out of a low-yield market into a high-yield market, Texas is the clear upgrade.

Katy, Fulshear, West Houston, and surrounding markets have become hotbeds for 1031 replacement property buyers seeking newer buildings, triple-net tenants, and significantly stronger returns.


6. Texas Industrial and Retail Markets Are Outperforming the West Coast

Even with the national slowdown, Texas remains the top destination for logistics, manufacturing, and distribution growth.

Major drivers include:

·National reshoring of manufacturing

·Port of Houston growth

·Corporate relocations from California

·AI, semiconductor, and tech expansions

·Strong housing growth supporting retail

The West Coast continues to face regulatory pressure, development restrictions, and high costs that limit growth.


Final Takeaway

California is still a world-class market — but when investors want better cash flow, stronger returns, lower taxes, business-friendly policies, and long-term growth, Texas CRE is simply the better deal.

If you're a California investor considering a move to Texas:
Let’s talk replacement properties, industrial sites, 1031 timelines, and financing options.


https://www.houstonrealestatebrokerage.com/

https://www.houstonrealestatebrokerage.com/houston-cre-navigator

https://www.commercialexchange.com/agent/653bf5593e3a3e1dcec275a6

http://expressoffers.com/[email protected]

https://app.bullpenre.com/profile/1742476177701x437444415125976000

https://author.billrapponline.com/

https://www.amazon.com/dp/B0F32Z5BH2

https://veed.cello.so/FOmzTty6oi9

https://creplaybookseries.billrapponline.com

https://creplaybook.billrapponline.com/


© 2023-2024 Bill Rapp, Broker Associate, eXp Commercial Viking Enterprise Team


California investors moving to TexasTexas Commercial Real EstateKaty Commercial Real EstateHouston Commercial Real EstateFulshear Commercial Real EstateBrookshire Commercial Real EstateRichmond Commercial Real EstateTexas CRE market1031 exchange TexasCalifornia to Texas relocationTexas Industrial Real EstateKaty Industrial Real EstateHouston Industrial Real EstateFulshear Industrial Real EstateBrookshire Industrial Real EstateRichmond Industrial Real EstateBest states for commercial real estateTexas retail InvestmentOut-of-state CRE investorsTexas Cap-RatesHouston Cap-RatesKaty Cap-RatesFulshear Cap-RatesBrookshire Cap-RatesRichmond Cap-Rates
blog author image

Bill Rapp, CRE Broker

I am a Houston commercial broker, with residential experience, as well as a lending background. I have been in the real estate industry for 14 years and counting, and I have worked in many roles within the industry and each has given me a unique perspective of the industry as a whole. My dedication to clients is rooted in this industry knowledge, but also includes my desire to go the extra mile in networking to source off market opportunities for my clients. Me and my team at eXp Commercial have a cutting-edge technology package that gets the widest exposure for each transaction. eXp Commercial offers a nationwide network through which we can deliver the best exposure and professional advice to achieve our clients’ goals while also minimizing their risk. Clients appreciate my methodical method of discovery in our initial consultation. Through which we can get to know each other and their specific’s business’s needs and objectives on a granular level. Our processes help navigate each transaction and its potential pitfalls through to a successful outcome for our clients. It is my stated goal to provide our clients with extensive market analysis and expertise that fosters innovative solutions and rewarding commercial real estate opportunities.

Back to Blog

eXp Commercial - Viking Enterprise team real estate network provides unparalleled commercial real estate services to Tenants and Landlords around the greater Katy & Houston MSA area. Our knowledge, experience, and reputation sets us apart from many firms.

A commercial property owner might have various plans that would necessitate the services of a commercial real estate broker. Some of the common scenarios include:

1. Selling the Property: If the owner decides it’s time to sell the property, a commercial real estate broker can help determine the market value, market the property effectively, and negotiate with potential buyers to get the best possible price.

2. Leasing Space: For property owners looking to lease out part or all of their commercial space, a broker can help find suitable tenants, negotiate lease terms, and ensure the lease agreements meet all legal requirements and serve the owner’s best interests.

3. Acquiring More Properties: Owners looking to expand their portfolio would benefit from a broker's knowledge of the market, access to listings, and negotiation skills to secure additional properties at favorable terms.

4. Property Management: While not all brokers offer this service, some commercial real estate brokers or their affiliates offer property management services. This can be particularly appealing for owners who prefer a hands-off approach or are managing properties from a distance.

5. Market Analysis: Owners considering future developments, renovations, or rebranding of their property might engage a broker for a comprehensive market analysis. This helps in understanding current market trends, the demand for different types of spaces, and potential returns on investment for various strategies.

6. Refinancing: In situations where a property owner is looking to refinance their property, a commercial real estate broker can provide valuable insights into the property’s current market value, assist in gathering necessary documentation, and even help in finding the best financing options.

7. Partnership or Investment Opportunities: Owners interested in exploring partnerships, joint ventures, or seeking investors for expansion or development projects might use a broker to find and vet potential partners or investors.

8. Consulting on Zoning and Use Changes: When contemplating a change in the use of the property or dealing with zoning issues, a broker with experience in local regulations and the specific property type can provide guidance and strategic planning assistance.

9. Exit Strategy Planning: For owners looking to plan an exit strategy from their investment, whether it’s through a strategic sale or a gradual winding down of operations, brokers can provide market insights, timing advice, and valuation services to optimize the exit process.

In any of these scenarios, the expertise and services provided by a commercial real estate broker can save the property owner time and money, while also providing access to a wider network of potential buyers, tenants, and industry professionals. Give us a call today!

Find the perfect location for your business.

Let us help your business succeed.

🏢 “Texas vs. California: Why Investors Are Choosing Texas Commercial Real Estate in 2026 🌟🤝”

🔥 “Why Out-of-State Investors Are Fleeing California for Texas CRE 🚀🌵”

December 01, 20253 min read

🔥 “Why Out-of-State Investors Are Fleeing California for Texas CRE 🚀🌵

🏢 “Texas vs. California: Why Investors Are Choosing Texas Commercial Real Estate in 2026 🌟🤝


Why Out-of-State Investors Are Leaving California for Texas CRE

California has long been seen as the “gold standard” for real estate wealth — but over the past few years, a massive shift has been unfolding. Investors from Los Angeles, San Francisco, San Diego, and Sacramento are selling their properties and redirecting money straight into Texas commercial real estate.

This isn’t a temporary trend. It’s a structural migration driven by tax strategy, affordability, better returns, and business expansion opportunities. Texas now ranks among the most popular destinations for 1031 exchanges, corporate relocations, industrial expansions, and owner-user real estate acquisitions.

Here’s why investors are betting big on Texas CRE — and why this trend is accelerating into 2026.


1. Texas Delivers Higher Cash Flow and Better Cap Rates

California cap rates for industrial, retail, and multifamily have compressed for years. In many markets, 3–4% cap rates became the norm. Texas, however, still offers 5.5%–7%+ cap rates, depending on the asset class and metro.

For investors who need cash flow — not just appreciation — Texas delivers significantly better returns.

Texas markets outperform on:

·Net operating income (NOI)

·DSCR loan qualification

·Cash-on-cash return

·Rent growth stability

·Tenant demand diversity


2. Texas Has No State Income Tax

For high-income investors and business owners, this factor alone is a game-changer.

A California investor can pay 13.3% in state income taxes — the highest in the country.
Texas investors pay zero.

That difference dramatically improves:

·1031 exchange rollover value

·Asset holding returns

·Depreciation benefits

·Passive income performance

When investors run the math, Texas wins almost every time.


3. Lower Operating Costs Create Stronger Investment Performance

Everything costs more in California — insurance, utilities, labor, permitting, impact fees, and contractor availability.

Texas gives investors:

·Faster development timelines

·Simpler planning approvals

·Lower rehab and construction costs

·Better landlord-tenant laws

·More business-friendly policies

For builders and developers, this is the difference between a project working — or failing.


4. Explosive Population & Corporate Growth in Texas

Texas is absorbing population faster than any other state. The growth of Katy, Fulshear, Houston, San Antonio, Dallas–Fort Worth, Austin, and surrounding suburbs is driving:

·New industrial demand

·Retail expansion

·Medical office development

·BTR and multifamily growth

·Land value appreciation

California continues losing population — which directly impacts occupancy rates, rent growth, and long-term investor confidence.


5. 1031 Exchange Buyers Get More for Their Money

In California, a $2M property might produce $60K–$80K NOI.
In Texas, that same $2M can generate $120K–$150K+ NOI.

When exchanging out of a low-yield market into a high-yield market, Texas is the clear upgrade.

Katy, Fulshear, West Houston, and surrounding markets have become hotbeds for 1031 replacement property buyers seeking newer buildings, triple-net tenants, and significantly stronger returns.


6. Texas Industrial and Retail Markets Are Outperforming the West Coast

Even with the national slowdown, Texas remains the top destination for logistics, manufacturing, and distribution growth.

Major drivers include:

·National reshoring of manufacturing

·Port of Houston growth

·Corporate relocations from California

·AI, semiconductor, and tech expansions

·Strong housing growth supporting retail

The West Coast continues to face regulatory pressure, development restrictions, and high costs that limit growth.


Final Takeaway

California is still a world-class market — but when investors want better cash flow, stronger returns, lower taxes, business-friendly policies, and long-term growth, Texas CRE is simply the better deal.

If you're a California investor considering a move to Texas:
Let’s talk replacement properties, industrial sites, 1031 timelines, and financing options.


https://www.houstonrealestatebrokerage.com/

https://www.houstonrealestatebrokerage.com/houston-cre-navigator

https://www.commercialexchange.com/agent/653bf5593e3a3e1dcec275a6

http://expressoffers.com/[email protected]

https://app.bullpenre.com/profile/1742476177701x437444415125976000

https://author.billrapponline.com/

https://www.amazon.com/dp/B0F32Z5BH2

https://veed.cello.so/FOmzTty6oi9

https://creplaybookseries.billrapponline.com

https://creplaybook.billrapponline.com/


© 2023-2024 Bill Rapp, Broker Associate, eXp Commercial Viking Enterprise Team


California investors moving to TexasTexas Commercial Real EstateKaty Commercial Real EstateHouston Commercial Real EstateFulshear Commercial Real EstateBrookshire Commercial Real EstateRichmond Commercial Real EstateTexas CRE market1031 exchange TexasCalifornia to Texas relocationTexas Industrial Real EstateKaty Industrial Real EstateHouston Industrial Real EstateFulshear Industrial Real EstateBrookshire Industrial Real EstateRichmond Industrial Real EstateBest states for commercial real estateTexas retail InvestmentOut-of-state CRE investorsTexas Cap-RatesHouston Cap-RatesKaty Cap-RatesFulshear Cap-RatesBrookshire Cap-RatesRichmond Cap-Rates
blog author image

Bill Rapp, CRE Broker

I am a Houston commercial broker, with residential experience, as well as a lending background. I have been in the real estate industry for 14 years and counting, and I have worked in many roles within the industry and each has given me a unique perspective of the industry as a whole. My dedication to clients is rooted in this industry knowledge, but also includes my desire to go the extra mile in networking to source off market opportunities for my clients. Me and my team at eXp Commercial have a cutting-edge technology package that gets the widest exposure for each transaction. eXp Commercial offers a nationwide network through which we can deliver the best exposure and professional advice to achieve our clients’ goals while also minimizing their risk. Clients appreciate my methodical method of discovery in our initial consultation. Through which we can get to know each other and their specific’s business’s needs and objectives on a granular level. Our processes help navigate each transaction and its potential pitfalls through to a successful outcome for our clients. It is my stated goal to provide our clients with extensive market analysis and expertise that fosters innovative solutions and rewarding commercial real estate opportunities.

Back to Blog

Find the perfect location for your business.

Let us help your business succeed.

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27815 Astoria Brook Ln

Katy, TX 77494 USA


9600 Great Hills Trail, Suite 150w Austin, TX 78759 |
855.450.0324 xx255

Texas Real Estate Commission Consumer Protection Notice Texas Real Estate Commission

Information About Brokerage Services eXp Commercial LLC #9010212

Viking Enterprise LLC #9009614

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Contact Us

27815 Astoria Brook Ln

Katy, TX 77494 USA

901 S Mopac Expwy, Bldg 2, Suite 350 Austin, TX 78746 | 512.474.5557Texas Real Estate Commission

Consumer Protection Notice Texas Real Estate Commission Information About Brokerage Services Reliance Retail, LLC #603091

Texas RS, LLC #9003193 | RESOLUT RE Is Licensed In Louisiana #0995694083