Texas Lawmakers Target Muslim-Centered Development Epic City

The controversial Muslim-centered North Texas development called Epic City is making waves in the Texas Legislature, where lawmakers are using it as a basis to reshape how developers structure and sell shares in planned communities.

House Bill 4211, moving through the Texas Legislature, is targeting the ownership model of Epic City’s developer Community Capital Partners, the Dallas Morning News reported.

The proposal, authored by Rep. Candy Noble, a Republican from Lucas, would require developers to inform buyers that they are purchasing a stake in a business, not land itself.

It would also bar developers from restricting share transfers or collecting fees when shares are resold. The proposal also stipulates that buyers couldn’t be excluded based on religion.

It was approved by the Texas House of Representatives last week and now awaits action in the Senate. Noble said the legislation is a response to Epic City, a proposed 402-acre residential and institutional development near Josephine that includes plans for more than 1,000 homes, a mosque, faith-based schools, clinics, retail, senior housing and sports fields. Two satellite communities, Epic Ranches One and Two, are also planned nearby.

To reserve a lot in Epic City, investors must purchase an $80,000 stake in Community Capital Partners, which grants them a 15 percent discount on lot prices.

Additional earnest money is required for Epic Ranches. Community Capital Partners’ president Imran Chaudhary has said the arrangement complies with federal and state securities laws and that land ownership will transfer when lots are purchased. The firm denies placing religious restrictions on buyers.

Noble argues that the ownership structure is too ambiguous. “Is it a timeshare? Is it a co-op? Is it a MUD, a PID or an HOA?” she said in an April committee hearing. “The answer is, it seems to be a little bit of all of those, and technically, none of them.”

The legislation may be moot, as investors will ultimately hold title once lots are sold, said Jay Madrid, a Dallas attorney with real estate litigation experience.

But the bill has escalated tensions surrounding the high-profile project, which has already drawn criticism, social media backlash and multiple state investigations. The U.S. Department of Justice also launched a civil rights probe earlier this month.

No development application has yet been filed for Epic City, but early traffic, flood and environmental studies have been completed. Community Capital Partners said investors would be refunded if the project fails to materialize.

— Judah Duke