Lubbock Area of Economic Development

Known as the “Hub City” of West Texas, Lubbock is a thriving mid-size metro with a strong business climate, skilled workforce, and excellent infrastructure.

As the 10th largest city in Texas, Lubbock serves a regional population of nearly 650,000, with projected growth of 4.6% over the next five years. Lubbock’s strategic location provides direct access to four major U.S. highways, as well as international trade routes via Interstate 27, which connects to Canada and Mexico. The city’s diverse economy is rooted in manufacturing, agriculture, education, healthcare, and technology, making it a prime location for business expansion and investment.

With more than 55,000 college students, a labor force exceeding 212,000, and a cost of doing business lower than the national average, Lubbock offers a competitive edge for companies across multiple industries.

Explore why Lubbock stands out in the High Plains region for business and discover the opportunities available for your company’s success.

Lubbock Community Profile: Business & Lifestyle Snapshot

Lubbock is a city where business growth meets quality living. Strategically located with direct access to I-27, major highways, and the BNSF rail network, Lubbock connects companies to national and international markets with ease.

Lubbock is a city where business growth meets quality living. Strategically located with direct access to I-27, major highways, and the BNSF rail network, Lubbock connects companies to national and international markets with ease.

Why Businesses Choose Lubbock:

• Strategic Location – A regional hub with interstate, rail, and air access, ensuring fast and efficient transportation.
• Pro-Business Climate – No corporate or personal income tax, plus tax abatements and workforce incentives.
• Expanding Industrial Base – Home to X-FAB’s $50 million semiconductor expansion and Leprino Foods’ global food production facility.
• Workforce & Education – More than 55,000 college students and a steady pipeline of skilled graduates from Texas Tech University and local colleges.
• Lower Cost of Doing Business – Affordable land, utilities, and wages compared to major Texas metro areas.

Beyond business, Lubbock offers vibrant cultural and entertainment options. The revitalized downtown features live music venues, boutique hotels, and The Buddy Holly Hall of Performing Arts and Sciences. Lubbock also supports a thriving winery scene, with the Texas High Plains area producing more than 80% of Texas’ wine grapes. With top-rated schools, parks, and family-friendly amenities, Lubbock provides an exceptional quality of life for business owners and employees alike.

Lubbock Business Climate: Incentives & Support

Lubbock’s business-friendly policies help companies save on taxes, reduce operating costs, and access financial assistance for expansion.

City & County Incentives

• Property Tax Abatements – Reduction or elimination of property taxes for qualifying businesses.
• Sales & Use Tax Exemptions – Cost savings on equipment, materials, and utilities for manufacturers.
• Workforce Training Grants – Funding for customized employee training programs.
• Foreign Trade Zone (FTZ-260) – Enables duty-free storage and trade advantages for companies engaged in global commerce.

State & Federal Incentives

• Texas Enterprise Fund (TEF) – Performance-based financial incentives for job-creating projects.
• HUBZone Certification – Federal contracting advantages for businesses in designated areas.
• Downtown & Commercial Revitalization Grants – Matching grants for façade improvements, infrastructure upgrades, and property renovations.

Lubbock’s strong local and state support allows businesses to maximize growth potential while keeping costs low.

Expanding Business Sectors

Lubbock’s economy is rapidly diversifying, making it a prime location for emerging industries and corporate expansion.

• Semiconductors & Advanced Technology – X-FAB’s $50 million CHIPS Act investment reinforces Lubbock’s position in microchip manufacturing.
• Logistics & Distribution – Rail, highway, and air connections make Lubbock a regional trade hub for supply chain and distribution businesses.
• Renewable Energy – The city’s wind and solar infrastructure supports growing investments in clean energy production.
• Aerospace & Defense – Strong workforce training programs and airport expansion initiatives create opportunities in the aerospace sector.

With its innovative ecosystem, affordability, and workforce talent, Lubbock-area business opportunities are available for companies across multiple industries.

Real Estate & Industrial Site Availability

Lubbock’s business parks and industrial sites provide shovel-ready properties and expansion opportunities for companies of all sizes.

Lubbock Rail Port

• 526-acre industrial park with access to BNSF Railway and I-27.
• Home to Bayer Crop Science, WL Plastics, and Corteva, supporting advanced manufacturing and logistics.

Lubbock Business Park

• 586-acre site near Lubbock Preston Smith International Airport, offering large industrial and commercial lots.
• Major tenants include Amazon, O’Reilly Distribution, and Verizon Wireless.

Downtown & Commercial Revitalization Projects

• Business grants and incentives for façade improvements, site redevelopment, and infrastructure upgrades.

Infrastructure & Accessibility Enhancements

Lubbock’s strategic transportation network provides seamless connectivity for businesses:

• Interstate & Highway Access – I-27 links Lubbock to I-40 and I-20, providing direct routes to major U.S. markets.
• Lubbock Preston Smith International Airport – A U.S. Customs Port of Entry with direct flights to Dallas, Austin, Denver, Houston, and more.
• Rail Freight & Trade – The BNSF rail network and shortline railroads offer reliable cargo transport.

As the Texas economy continues to expand, Lubbock’s high-quality infrastructure positions it as a competitive hub for regional and international business operations.

Workforce Development & Education

Lubbock offers a talent-rich workforce supported by top-tier education and training programs.

• Texas Tech University – A Tier One research institution producing STEM and business graduates.
• Workforce Solutions South Plains – Customized training programs and hiring incentives for businesses.
• EL ROBI Pre-Apprenticeship Program – A workforce initiative providing hands-on training in skilled trades such as HVAC, plumbing, and electrical work.

Lubbock’s dedicated workforce development programs help businesses find and train the right talent for long-term success.

Quality of Life & Cost Benefits

Lubbock offers affordable living, a strong community, and a vibrant cultural scene.

• Lower Cost of Living – Housing, labor, and utilities are significantly more affordable than in Austin, Dallas, or Houston.
• Downtown & Cultural Attractions – The First Friday Art Trail, wineries, breweries, and live music venues bring energy to the city.
• Outdoor & Recreational Opportunities – With 265+ days of sunshine, residents enjoy hiking, parks, and golf courses year-round.

Lubbock’s strategic advantages, pro-business environment, and growing industries make it a top destination for businesses moving to Texas. Discover how the Texas business climate supports companies like yours in achieving growth and long-term prosperity.