Houston ranks No. 2 in the nation for corporate relocation and expansion projects
In Texas, Houston rules the corporate relocation and expansion kingdom — and it's second to only one other market nationwide.
Site Selection magazine ranks Houston second among large U.S. metro areas for the number of corporate relocation and expansion projects landed in 2019. That's up two spots from the previous year's ranking.
On the new list, published in the magazine's March issue, Houston replaces Dallas-Fort Worth in the No. 2 spot among metros with at least 1 million residents, pushing DFW down to No. 3. Austin takes the No. 6 spot.
Last year, Houston landed 276 projects that met the magazine's ranking criteria. With 416 projects, Chicago earned the No. 1 spot. Dallas-Fort Worth scored 261 projects in 2019, while Austin snagged 95.
Qualifying projects for the rankings must have a minimum investment of $1 million, create at least 20 new jobs, or involve at least 20,000 square feet of new space.
A couple of notable Houston corporate relocations or expansions in 2019 were:
- Bill.com's first expansion outside Silicon Valley, with 125 new jobs housed in 25,000 square feet in the Westchase district.
- Amazon Web Services' new technology hub, with 150 new jobs housed in 25,000 square feet at CityCentre.
"This latest ranking is more evidence of Houston's strength as a destination for corporate relocation and investment," Bob Harvey, president and CEO of the Greater Houston Partnership, said in a March 3 statement. "Our low cost of doing business, access to quality talent, and pro-growth mentality continue to make Houston an attractive place for companies across the country and around the world looking for expansion and relocation opportunities. Our strong, diverse economy is a big part of what makes Houston a great global city."
Commercial real estate services company Colliers International notes that Houston is one of the country's most competitive cities for corporate relocation and expansion.
"Houston's ability to foster continued expansion in future-growth industries responsible for generating high-quality, well-paid jobs across all business sectors has placed it in the top tier among U.S. cities," Colliers International says. "With its numerous business advantages, Houston is well positioned to successfully compete in today's global marketplace."
Among those advantages, Colliers says, are:
- Two major airports
- Massive seaport
- Extensive rail and road infrastructure
- 90 foreign consulates
In February 2019, René Lacerte, founder and CEO of Bill.com, said the Palo Alto, California-based company picked Houston for its first U.S. outpost following an "extensive national search." Bill.com settled on Houston because of its talent pool, quality of life, and business-friendly environment, he said.
Houston Mayor Sylvester Turner has said the Bill.com expansion represents a "another great example of Houston's building momentum as a leading digital tech hub."
A second example is Amazon Web Services' July 2019 expansion in Houston. Kris Satterthwaite, the company's Gulf Coast enterprise sales leader, praised the city as "a fantastic place to live and work," and as having "a strong local economy that we look forward to investing in and growing together [with]."
The Houston-DFW-Austin trifecta of top-performing markets for corporate relocation and expansion in 2019 helped propel Texas to win Site Selection's Governor's Cup Award for the eighth consecutive year.
In accepting the award, Gov. Greg Abbott called Texas "the most dynamic economy in the nation."
"Texas' skilled, diverse, and ever-expanding workforce drives our booming economy," Abbott said. "I want to thank all of our local, regional and statewide economic development teams for their work to expand economic opportunity in Texas, as well as the companies that continue to invest and create more jobs throughout the Lone Star State."
This story originally appeared on our sister site InnovationMap.com.