Gov. Greg Abbott ceremonially signed legislation in Fairview aimed at tightening property protections in response to a controversial Islamic residential development proposed for Collin County.
Abbott has framed the issue as “banning Sharia compounds,” though the legislation does not especially mention any specific religion.
House Bill 4211, authored by State Rep. Candy Noble (R–Lucas) and carried in the Senate by State Sen. Angela Paxton (R–McKinney), creates a framework for regulating “business entity-owned residential arrangements,” an ownership model critics say was used to sidestep state property law in the East Plano Islamic Center’s (EPIC) planned “EPIC City” and “EPIC Ranches” projects.
Abbott told attendees the measure was needed to ensure religious freedom is not twisted into religious segregation.
“Religious freedom is a central part of the Texas Constitution,” Abbott said. “But bad actors like EPIC and EPIC City tried to use religion as a form of segregation. EPIC proposed an Islamic-only development just outside of Plano. They structured it so that only Muslims would be able to buy property and that any resale had to be to another Muslim or back to EPIC City. That is blatant religious discrimination.”
Launched last year by EPIC, the projects were marketed as exclusive Muslim enclaves. Plans for “EPIC City” called for hundreds of homes along with a mosque, K-12 schools, a community college, a clinic, and retail space—all financed through a shared investment model requiring individuals to put in at least $80,000 before being allowed to purchase a lot.
Unlike a typical subdivision, residents wouldn’t hold title to their property directly but would instead buy into a business entity that controlled the land.
That structure raised alarm among local officials and state leaders, who questioned whether it complied with state and federal law. Collin County Judge Chris Hill publicly opposed the project after a lengthy public hearing, and both Gov. Abbott and Attorney General Ken Paxton opened investigations into its legality.
HB 4211 also removes certain religious exemptions from the Texas Fair Housing Act, prohibiting religious organizations that own more than 25 acres from restricting home sales solely to members of their faith. That provision directly impacts projects like EPIC City.
Abbott went further, accusing EPIC of trying to impose foreign law on Texans.
“The development was structured in a way that requires anybody who bought a lot there to abide by Sharia law,” Abbott said. “That is illegal in Texas. It violates our laws and our values. This law comprehensively addresses not just EPIC but also any compound like it, making sure these compounds will not be able to be built in the state of Texas.”
Abbott said the measure ensures property owners cannot be restricted from selling or transferring their interests, disputes must be resolved in Texas courts under Texas law, and the attorney general has the power to shut down developments that attempt to operate outside those rules.
The governor also connected the law to a broader debate over the role of Sharia law in Texas, referencing a Houston imam who he said insisted Muslim-owned businesses must follow Islamic rules instead of state law.
“That is false. It is illegal. No neighborhood in Texas is governed by Sharia law,” Abbott said. “Texas law and Texas courts govern those businesses and those neighborhoods. No ranting imam can change that.”
Violations of the law are enforceable under the Texas Deceptive Trade Practices Act, and courts may bar developers from creating municipal utility districts or receiving public funds if they are found in violation.
