Remember Colony Ridge, the housing development northeast of Houston evidently pitched to illegal aliens that boasted such “features” as high crime rates and substandard infrastructure? A settlement between the state and the developer means no more home sales to illegal aliens there.
A sweeping settlement between the State of Texas, the federal government, and Colony Ridge will require buyers in the controversial Liberty County development to present Texas-issued identification or valid immigration documents—effectively shutting down future direct land sales to individuals unlawfully present in the United States.
Filed Tuesday in federal court, the agreement resolves multiple enforcement actions brought by the U.S. Department of Justice, the Consumer Financial Protection Bureau, and Texas Attorney General Ken Paxton, who had accused Colony Ridge of deceptive sales practices and discriminatory, predatory lending. Colony Ridge denies any wrongdoing but agreed to the terms to settle the litigation.
Under the settlement, Colony Ridge must require purchasers to present an unexpired Texas-issued driver’s license or identification card, or a valid passport and visa, as well as take steps to confirm buyers are not on terrorism watch lists or affiliated with transnational criminal organizations. The company is also required to verify compliance with Texas laws restricting certain real estate transactions tied to designated foreign countries.
If actually enforced, the driver’s license requirement alone should halt the vast majority of home sales to illegal aliens. Unlike certain Democrat-run states, Texas doesn’t hand out driver’s licenses to illegal aliens like party favors.
The agreement halts Colony Ridge’s business model that fueled its explosive growth. For three years, the developer is barred from seeking approval for new residential plats intended for direct-to-consumer land sales. Limited exceptions apply, but new subdivisions must include deed restrictions, county permitting compliance, architectural controls, and in many cases require a home to be constructed before resale.
In addition, Colony Ridge is required to spend at least $48 million on infrastructure improvements within existing subdivisions, including $18 million dedicated to drainage and flood control and $30 million for roads, water, sewage, and other public-safety infrastructure.
Independent Texas-based engineering firms must reevaluate drainage systems, design improvements capable of handling major storm events, and conduct recurring inspections, with existing deficiencies prioritized ahead of new development.
Colony Ridge’s drainage systems didn’t even meet county code when they were built.
Another $20 million must be allocated to increasing law enforcement presence in the area over the next decade. Those funds may be used for local patrols, construction of DPS or county law enforcement substations, additional officers, equipment, and expanded immigration enforcement partnerships. Annual spending is capped, and any unused funds must be redirected to public safety infrastructure.
The settlement further imposes strict consumer-protection requirements. Colony Ridge must adopt formal underwriting standards, implement a default-avoidance plan to reduce foreclosures, and provide buyers with expanded disclosures regarding utilities, flood risks, permitting timelines, and the true total cost of ownership. Future buyers will also receive a limited rescission window allowing them to unwind a purchase within two payments and receive a refund under certain conditions.
Colony Ridge seemed designed as a corner-cutting development meant to be marketed to illegal aliens from the get go. It first started pulling its antics way back in 2011, which suggests that several county and state functionaries were woefully late in sounding the alarm, as it didn’t really attract much attention until the Texas Public Policy Foundation published a report on it until 2020. Paxton didn’t file a lawsuit until 2024, and it wasn’t swept for illegal aliens until 2025.
The backlash over Colony Ridge probably encouraged state officials to take a more aggressive and pro-active approach to the planned Muslim EPIC City enclave northeast of Plano before construction actually started. But it’s still going to take several years to clean up the mess created by Colony Ridge developer Houston Terrenos.
Illegal aliens are no longer going to be allowed to buy houses in Texas anymore…