Matt Buchanan, President, Pearland Economic Development Corporation

In an interview with Invest:, Matt Buchanan, president of the Pearland Economic Development Corporation, discussed how Pearland is building on its residential growth to accelerate business development and diversify its tax base. “There has been a tremendous amount of growth across the community, and the overall market sentiment is positive,” Buchanan said.

What major trends have most affected business activity and investment in Pearland over the past year?

Our market is looking strong. Pearland has gone through an evolution. For many years, the city was known primarily for rapid residential development. We have been one of the fastest-growing cities in the United States and one of the fastest-growing in the Houston metro, and today we are the third-largest city in the region. Now, we are seeing that momentum translate into significant business development, especially in our Lower Kirby area and along State Highway 35, which are two of our major focus areas.

It has been a strong year for us. We have had major announcements in healthcare, including a $60 million expansion from HCA at one of our two major hospitals. We also posted one of our strongest years in housing starts in many years. There has been a tremendous amount of growth across the community, and the overall market sentiment is positive.

What is the next phase of growth for Pearland’s life sciences and advanced manufacturing sectors?

Life sciences remains a key strength for Pearland, and we intend to keep building on it. We recently had United Imaging select Pearland and take down a 216,000-square-foot building. Abbott is already in our community, Lonza operates the world’s largest cell and gene therapy manufacturing facility here, and we also have companies such as Millar and Merit Medical. That concentration gives us real credibility, and we are going to continue to recruit aggressively in the life sciences space.

We are also seeing growth beyond our traditional targets. Developers have been delivering a significant amount of flex space, which opens the door to a broader range of users. We have had close to 2 million square feet either come online or move under development over the last couple of years. That is creating opportunities for e-commerce, light industrial, warehousing, and other advanced users. We may not always be able to dictate exactly which company occupies each building, but we are pleased with the quality of tenants we are attracting.

What infrastructure improvements are most important to support future development?

We are aggressive when it comes to infrastructure because site readiness is essential if you want to compete for quality projects. We currently have a number of water, sewer, drainage, and roadway improvements underway. One example is Industrial Drive, an older road with many existing businesses that we are redeveloping through a nearly $7 million project.

We also recently executed a development agreement with Hanover, a major Houston developer, on a project that will include around 300,000 square feet. As part of that effort, we are reconstructing the adjacent road and improving access, drainage, water, sewer, and utilities. In Lower Kirby, we are continuously advancing master drainage planning and completing major roadway projects, including additional phases of Fruge Road. At any given time, we probably have $10 million to $15 million in active infrastructure work underway.

How are higher construction costs and financing conditions affecting development?

Those costs are definitely a challenge. Construction has become more expensive, and the cost of designing and engineering projects has also risen dramatically. That puts pressure on both developers and communities.

That said, we have been fortunate because our pipeline remains strong. The growth in our tax base and our revenues has allowed us to continue advancing the infrastructure needed to support development. We have not had to significantly curtail our overall project portfolio because the demand is still there and the city continues to see strong momentum. In our case, the strength of the market has helped offset some of those headwinds.

What are companies telling you about workforce needs, and how are you responding?

Workforce is a major priority for us, and we have built a fairly robust response. We have a dedicated director of workforce development, and we work closely with employers on both talent recruitment and training. One initiative is Work in Pearland, a local job platform where employers can post openings and connect directly with our residents. It helps us market opportunities more effectively within the community.

On the training side, we recently worked with Alvin College to support a certificate program focused on biotech workers. That is exactly the kind of partnership we need more of. Our goal is not only to help employers attract talent, but also to improve workforce productivity and prepare people for the specific jobs being created here.

What role do small businesses and startups play in Pearland’s long-term strategy?

They are an important part of our long-term economic health, and the Pearland Innovation Hub has become a major tool in supporting them. Over the last 18 months, we have really transformed that platform. Its events are seeing record attendance, and engagement from small businesses and startup founders has grown significantly.

One of the most valuable services we offer is technical assistance. Small businesses can access advisory support for specific projects and operational needs, and demand has been so strong that we have had to find ways to create more advisor hours. The Innovation Hub has its own advisory board and dedicated staff, and they have done an outstanding job. It is helping us strengthen entrepreneurship as a real part of Pearland’s economic development strategy.

How are you balancing residential growth with the need for a stronger commercial tax base?

That has really been one of the central questions for Pearland. Our residential base is already strong, so the focus now is on job growth and commercial diversification. We are at roughly 48,000 jobs today, which is a record for the city, and that number continues to grow.

The commercial area around Highway 288 and FM 518 remains the hub of economic activity in South Houston and northern Brazoria County. What we are doing now is complementing that with more industrial, warehousing, manufacturing, and flex development. That helps us create jobs locally while also further diversifying the tax base. It is a healthy evolution for the city.

How does Pearland benefit from nearby regional assets such as the Texas Medical Center and Port Houston?

Pearland has long benefited from its proximity to major regional employment centers. The Texas Medical Center is probably the best example. More Texas Medical Center employees live in Pearland than in any other city, and our 77584 ZIP code has historically had the highest concentration of Texas Medical Center employees of any ZIP code in the Houston area. That reflects our direct access via Highway 288, as well as the fact that Pearland is such a strong family-oriented community.

That relationship also shaped our life sciences strategy. Because so many medical professionals, researchers, and healthcare workers already lived here, we believed Pearland could become a natural extension of the broader medical and research economy. That has proven true. We also remain closely engaged with regional organizations tied to Port Houston, NASA, and the broader Bay Area economy, because those employment centers continue to support Pearland residents and strengthen the city’s role within the metro.

What would success look like for Pearland over the next three to five years?

Success means continuing to develop our two major focus areas — Lower Kirby and the State Highway 35 corridor — into the employment centers they are meant to become. We are not going to achieve full buildout in the next few years, but we should make strong progress.

Success also means continuing to invest in the quality-of-life factors that brought people here in the first place. Parks, roads, schools, public safety, and amenities all matter. There is not one single thing that makes a city successful. It is the combination of all of those factors working together.

That is why our Pearland Prosperity Plan is so important. It is a five-year strategy, and we are just in the first year of it now. If we execute that plan well, Pearland will continue to be the community of choice in the Houston region.