SpaceX’s headquarters in Starbase, Texas, located at the southern tip of the state in the Rio Grande Valley, surprises visitors with its presence after traveling miles of dusty dirt roads. Before SpaceX’s arrival, the region was known primarily for its coastal wildlife, particularly bird watching. The area had a few dozen homes, mostly winter residences, with Brownsville, the nearest city, over 20 miles away on the border with Matamoros, Mexico.
Starbase is now a company town. Its population consists mostly of people moving from cities like Austin and San Francisco, drawn by employment rather than wildlife. Brownsville, on the other hand, has a predominantly Latino population engaged mainly in farming and shrimping. Despite differences, Starbase and Brownsville share resources. Some SpaceX employees live in Brownsville, which has about 192,000 residents, and their children attend school in the city.
The SpaceX facilities at Starbase employ over 4,000 workers, with nearly 70% sourced from the local area. The company plans to expand its workforce to about 8,000 employees this year. SpaceX’s growth accelerated last Friday with its shares going public in the largest-ever initial public offering. This IPO instantly raised the company’s market value to over $2 trillion, with Elon Musk becoming the first person worth at least $1 trillion.
El Buen Pescador restaurant owner Marco Colorado in Port Isabel reports that SpaceX’s presence has bolstered business, attracting company employees and rocket launch tourists. He notes, “Whenever there’s a launch or an event, we get flooded,” recognizing customers by their Tesla vehicles.
Double Day Bar of Champions’ owner, Mikael Hinojosa, has experienced similar benefits, stating SpaceX launches created “a new type of tourism.” On launch days, patrons gather on the patio to see the liftoffs, then follow the rockets indoors on TV.
While local businesses benefit, concerns emerge over SpaceX’s impact on the community. Save RGV, an environmental group, argues the company’s rocket launches scatter debris, disturb wildlife, and damage air quality. Etienne Rosas, a Brownsville native and former congressional candidate, comments that SpaceX’s expansion raised regional housing prices, citing the average home price in Brownsville rose from $112,705 in 2018 to $196,920 in 2026.
Rosas acknowledges SpaceX’s economic momentum but notes increased inequality. Downtown Brownsville has seen tech-oriented development and investment although Rosas warns this growth overshadows the region’s longstanding families. “Brownsville had a certain dynamic pace, and now that’s gone,” he laments.