Title
Provide a second-quarter update on Economic Development activities.
Body
REQUESTOR:
Deputy Mayor Pro Tem Roger Neal
BACKGROUND:
Regular economic development updates keep the City Council informed on the City's progress toward strengthening the local economy and maintaining a healthy tax base. The report highlights business recruitment, retention, and expansion efforts, monitors commercial vacancy trends, and identifies opportunities and challenges that may impact future growth. This information enables the Council to evaluate the effectiveness of current economic development strategies, make informed policy decisions, and ensure resources are aligned with the City's strategic priorities to support long-term economic vitality and community investment.
The Farmers Branch economy has continued to demonstrate resilience and stability in the second quarter despite ongoing regional and national market challenges. Industrial and multifamily vacancy rates have remained favorable compared with those of neighboring communities and broader regional benchmarks, reinforcing the City’s position as a desirable location for investment, business operations, and residential growth.
The City continues to strengthen relationships with our existing small businesses and the City’s major tax revenue-generating employers through proactive engagement, strategic outreach, and collaborative partnerships. These initiatives support the City Council’s goals for economic vitality, business retention, and sustainable growth.
DISCUSSION:
In the second quarter of 2026, the Economic Development Department significantly expanded its business recruitment, retention, and expansion efforts. During the second quarter, staff made 89 visits. Staff have conducted 140 total visits for the year, including corporate and targeted meetings, ribbon cuttings and events, and business pop-ins. To date, staff has completed 70% of its goal of approximately 200 Business Retention and Expansion (BRE) visits, including focused engagement with the City’s top tax-revenue-generating employers, while continuing to maintain and strengthen relationships with the local small business community.
During the second quarter, the City of Farmers Branch continued to perform competitively, with industrial and multifamily vacancies compared with neighboring municipalities such as Carrollton and Addison, as well as with regional and national market indicators. Farmers Branch saw a new multifamily apartment complex open, and several existing businesses relocated or signed new leases in existing spaces to remain in the city.
The City Manager’s Office has also continued to enhance recruitment efforts by participating in targeted lead-generation initiatives, attending strategic industry conferences, and conducting sector-specific recruitment activities to attract investment and employment opportunities aligned with the City’s long-term economic objectives.
Staff will remain focused on pursuing strategic opportunities that support commercial investment, strengthen the local tax base, promote redevelopment, and position Farmers Branch competitively within the regional marketplace.
COUNCIL DISTRICT:
Citywide
FINANCIAL IMPACT:
N/A
ATTACHMENT(S):
1. Presentation