Greg Abbott ceremonially signs House Bill 4211 following months of investigations into EPIC City project near Dallas as civil rights groups condemn ‘inflammatory’ rhetoric
Governor Greg Abbott has ceremonially signed legislation aimed at preventing what he calls “Sharia compounds” in Texas, following months of controversy surrounding a planned Muslim-centric residential development near Dallas. House Bill 4211, which technically became law on September 1, targets business structures used by developments like EPIC City, a 402-acre project that has drawn intense political scrutiny and multiple state investigations.
Speaking at the Heritage Ranch Golf & Country Club in Fairview, surrounded by over a dozen Republican lawmakers, Abbott declared that “bad actors like EPIC and EPIC City tried to use religion as a form of segregation” and vowed that Texas would prevent attempts to build “discriminatory compounds” in the state.
The ceremonial signing comes after the East Plano Islamic Center’s Community Capital Partners announced plans to build more than 1,000 homes, a mosque, Islamic school, and other facilities near the town of Josephine, approximately 40 miles northeast of Dallas.
Allegations Without Evidence
Abbott claimed during his remarks that those behind EPIC City sought to create an entire city “open only to Muslims” and would “subject anyone who lives there to Sharia law” whilst restricting landowners’ ability to sell property. However, the developers have repeatedly stated the community would be open to people of all faiths and would comply with all Texas and federal laws.
“We never intended to impose Sharia law or create a Muslim-only zone,” said Dan Cogdell, attorney for EPIC City and the East Plano Islamic Center. “Ironically, what the bill supports is the same thing we support. It bans religious discrimination.”
Community Capital Partners has explicitly stated it will follow the Fair Housing Act, which prohibits housing discrimination based on religion and other protected characteristics. In a statement following the ceremony, spokesperson Erin Ragsdale said: “Community Capital Partners closely followed Texas House Bill 4211 since its filing on March 10th, and we fully support the bill and the protections it offers Texas landowners and homeowners.”
What the Law Actually Does
Despite Abbott’s rhetoric about “Sharia law,” House Bill 4211 makes no mention of Islam, Sharia, or any specific religion. The legislation, authored by Representative Candy Noble (R-Lucas) and carried in the Senate by Angela Paxton (R-McKinney), regulates “business entity-owned residential arrangements” and requires businesses to inform buyers they are purchasing an interest in a business rather than residential property directly.
The law prohibits developments from charging fees when investors sell their shares and removes religious exemptions from the Texas Fair Housing Act for religious organisations owning more than 25 acres. It also mandates that all disputes be resolved in state or federal courts rather than any alternative tribunal system.
Abbott acknowledged the law applies to all religions, stating: “What happened here was a development that created religious segregation with a hostility to any other religion, and that’s un-Texan.”
The EPIC City Project
EPIC City represents a $400 million development initiative by the East Plano Islamic Center, one of North Texas’s largest mosques. The project spans 402 acres across unincorporated portions of Collin and Hunt counties and includes plans for residential units, a K-12 faith-based school, a community college, sports facilities, healthcare clinics, and retail shops.
To reserve lots in the main development, investors must purchase an £61,600 ($80,000) share in Community Capital Partners, which will be credited toward a home lot purchase. The project sold more than 500 lots within days of its public launch in 2024.
Yasir Qadhi, a resident scholar at the East Plano Islamic Center, described the community as a “Muslim neighbourhood” that would remain “well integrated” within the broader community. “We are not forming a cult. We’re not forming big barriers between the rest of society,” Qadhi emphasised.
Multiple Investigations
The EPIC City project has faced unprecedented scrutiny from state officials. Governor Abbott launched multiple investigations in April 2025, temporarily halting construction. These probes involve the Attorney General’s office, Texas Workforce Commission, Texas State Securities Board, Texas Funeral Service Commission, and Texas Rangers.
The investigations allege potential violations of the Texas Fair Housing Act, fraud, consumer protection violations, and conducting unlicensed funeral services. However, little evidence has been provided to support these claims. The Department of Justice also launched and subsequently ended its own investigation, with Community Capital Partners stating they were “glad the DOJ found” their commitment to building an inclusive community “to be true.”
The Texas Workforce Commission recently settled its Fair Housing Act complaint against Community Capital Partners after the developer agreed to new housing policies, staff training, and five years of compliance reporting, whilst admitting no wrongdoing.
Civil Rights Groups Respond
The Council on American-Islamic Relations (CAIR) condemned Abbott’s rhetoric as “reckless, discriminatory, and divorced from reality.” CAIR-Texas Executive Director Mustafaa Carroll stated: “Governor Abbott’s post is fueling anti-Muslim bigotry and putting Texas Muslims at risk.”
CAIR noted that Abbott’s characterisation misrepresents both the purpose of the law and Islamic religious practices followed by nearly two billion people worldwide. The organisation argued that the governor “singles out Muslims in ways that would never be applied to other faiths, such as Jews observing Halakha or Catholics practicing canon law.”
“‘Sharia’ is an Arabic word that translates to ‘path’ or ‘way,'” CAIR explained. “It does not refer to a separate system of laws that competes with American law. Instead, it is a moral and spiritual framework that guides Muslims in their personal lives.”
Local Opposition and Support
The controversy has divided local communities. At county commissioners’ meetings, some residents expressed concerns about the development’s impact on water resources, emergency services, roads, and the area’s rural character. Others voiced fears about “Islamic compounds” and “Sharia law” enforcement.
However, supporters have defended the project’s legitimacy. Darrell Evans, a former Democratic candidate for Texas House District 89, questioned whether taxpayer funds should investigate “ideas,” asking commissioners: “In America, are we now spending tax dollars investigating ideas? Is that where we are?”
The population of Josephine has grown by 234% in three years, reaching nearly 5,000 people, as Collin County experiences rapid growth that has strained local resources regardless of any specific development.
Political Theatre
The ceremonial signing included appearances by Congressman Keith Self, Senator Angela Paxton, Representatives Jeff Leach, Candy Noble, Katrina Pierson, Keresa Richardson, and Matt Shaheen. Abbott used the occasion to issue broader warnings, stating: “This law prevents them from creating no-go zones.”
The governor also referenced a viral video from early September showing a Houston-area Muslim cleric using a loudspeaker to urge shopkeepers to stop selling alcohol and pork, warning that anyone attempting to impose “Sharia compliance” should be reported to law enforcement.
Critics argue the entire controversy represents political theatre targeting Muslim communities. Cogdell called the investigations “politically motivated,” adding: “Several politicians have tried to pervert these so-called investigations for their political benefit. Ultimately, I think it will backfire.”
Moving Forward
Despite the political firestorm, Community Capital Partners maintains the project is “100% moving forward.” The developer has purchased the land, completed water and flood studies, and continues adapting plans based on those results.
Many in the Islamic community believe the investigations and legislative response are unfair, politically motivated, and based on negative stereotypes of Muslims. The mosque has reported that many of its leaders and community members have received death threats since the controversy began.
As Texas grapples with questions of religious freedom, property rights, and discrimination, the EPIC City controversy highlights deeper tensions about diversity and inclusion in rapidly growing communities across the state.
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