Leading Newspaper of Denmark ‘Weekendavisen’ Interviews Douglas Newby

The Realm of the Sun

By Markus Bernsen

DALLAS — It is hard to stay truly angry on a spring morning like this at Café Pacific.

On the outdoor terrace, sunlight filters gently through the trees. A refreshing breeze softens the edge of the heat. Waiters in white uniforms move quickly between tables with fresh-squeezed juice, lobster omelets, and a Texas version of eggs Benedict topped with thick medallions of beef tenderloin.

Here, regular patron Douglas Newby has invited the newspaper’s correspondent to breakfast to explain something that has long been puzzling: Why are Americans so eager to trade desirable cities like New York and San Francisco for — of all places — Dallas, Texas?

“When it comes down to it, all Americans like a winner,” says Newby, dressed in a light jacket with a pocket square and neatly combed-back hair. “And Dallas has always been a winner. There’s a kind of optimism here that’s become harder to find further north.”

As a real estate broker specializing in historic homes, Newby acts as something of an ambassador for the oldest, greenest, and most exclusive parts of Dallas — where we are sitting now. Over a long career, he has helped wealthy buyers from across the country settle in a place many still associate with cowboys, oil rigs, and a kitschy 1980s television series.

Today, Dallas is much more: the fastest-growing major city in the U.S., a competitor to New York as the nation’s financial center, and a magnet for some of the country’s most educated, highest-paid, and most discerning residents.

A number of banks and major companies have already relocated their headquarters here, and later this year two new stock exchanges will open, accelerating the shift “from Wall Street to Y’all Street,” as it’s known locally. By some estimates, there are already more financial industry employees in the Dallas region than on Wall Street.

Why People Are Moving

Migrants are drawn south by lower taxes, larger homes, and more sunshine. In Texas, there is no state income tax, and the governor has made it easier and cheaper to run a business.

“Three houses in Dallas cost the same as one worn-down apartment in Manhattan. Office space there can cost nearly four times as much,” the article notes.

“The most important reason to move to Dallas is that you and your family actually get to enjoy your financial success,” says Newby. “In a city like New York, many feel it’s the city government that benefits most.”

In California, the exodus has accelerated since the introduction of a new wealth tax. But culture and politics also play a role, Newby explains.

“People from California have simply had enough,” he says. “Beyond the taxes, it feels restrictive. In some places, it can take ten years to get a building permit. In cities like Portland, people ask themselves whether they really want to live somewhere with needles in the streets and tents on the sidewalks. Even those on the political left now admit they have to leave because of policies they themselves supported.”

Who Wants to Live in New York?

The shift gained momentum during the pandemic, when remote workers discovered the appeal of the South’s climate and tax advantages. It has since accelerated in a polarized political environment.

New York City is considering higher taxes on high earners and businesses, making it even more expensive to operate.

“It’s as if Texas gains 10,000 new residents every time the mayor opens his mouth,” one observer remarks.

Dallas mayor Eric Johnson recently stated: “Dallas is America’s first safe haven from socialism. Business leaders can clearly see that Dallas represents the future of business and the American dream.”

Newby agrees, gesturing around the terrace as plates of French toast and scrambled eggs arrive.

“Build a career in New York? Raise a family in New York? Why would you do that today?” he says. “I love New York — but live there? If you want to play tennis in Central Park, you have to book a month in advance, then spend hours getting there and back. Here, you just walk to beautiful courts by the lake.”

Something Close to Paradise

For generations, the economic center of the U.S. was concentrated in the Northeast corridor from Washington, D.C. to Boston, later expanding to Chicago and the West Coast.

Now the South is rising.

Population growth is strongest in the “Sun Belt,” stretching from Nevada to North Carolina. The ten fastest-growing cities are all located there, including Dallas, Charlotte, and Nashville.

The shift is not just economic. Cities like Charleston and Atlanta have become cultural hubs, while Austin has attracted entrepreneurs like Elon Musk and Joe Rogan.

Major financial institutions are following:

Goldman Sachs is building a massive Dallas campus Bank of America is expanding in the city JPMorgan, Wells Fargo, and Charles Schwab are all increasing their presence

The Wall Street Journal describes this as the most significant geographic shift in global finance since 2008.

Why Dallas Is Winning

“Money and talent are drawn to opportunity,” says Newby.

“Texas has always been a place of opportunity, perhaps because of its history. Many families still carry stories of earlier generations who built homes, worked the land, and created something from nothing. That creates a different mindset than growing up in a rented apartment for generations.”

He adds:

“Texas has always been a place where success is recognized and supported — not demonized.”

Newby remains optimistic:

“When I worry that Dallas might fall behind, I remind myself — you don’t have to outrun the tiger chasing you, only the person next to you. As long as other cities continue behaving irrationally, Dallas will look rational and productive by comparison.”