A federal appeals court on Tuesday allowed Florida to begin enforcing a state law that restricts real estate purchases by Chinese citizens, a decision that could shape how other states – including Maine – respond to foreign-linked property ownership and land use.
The 2-1 ruling from the 11th Circuit U.S. Court of Appeals found that challengers backed by the American Civil Liberties Union (ACLU) did not have standing because they have lived in Florida for years and are not considered “domiciled” in China under the statute.
The law, passed in 2023, bars most Chinese citizens who are not U.S. citizens or permanent residents from purchasing property in Florida and requires some existing property owners to register their holdings with the state. A narrow exception exists for certain visa holders and asylum recipients purchasing a single home located more than five miles from a military installation.
Supporters, including Florida Governor Ron DeSantis (R), argue the law addresses national security risks. Opponents say the restrictions amount to discrimination based on nationality. The court majority ruled the law was enacted out of “national, individual, land, and food security concerns.”
The ruling carries relevance for Maine, where law enforcement agencies have identified dozens of large-scale illegal marijuana grow operations involving Chinese nationals tied to transnational criminal organizations. These grow operations have been found in quiet neighborhoods and rural towns, often inside purchased homes paid for with cash or through opaque financial intermediaries.
Steve Robinson of The Maine Wire has been central in exposing the extent of these networks, documenting how properties were selected, how local communities were impacted and how state and federal agencies have responded. His reporting drew state and national attention, prompted public statements from members of Congress and pushed the issue into the national spotlight.
Florida’s now-enforceable law could encourage similar proposals in Maine aimed at tracking or restricting foreign-connected real estate purchases. Supporters of such measures in Maine are expected to focus on organized crime, public safety and national security. Opponents are likely to emphasize individual rights and discrimination concerns.
The decision was authored by Judges Robert Luck and Barbara Lagoa, both former Florida Supreme Court justices appointed to the federal bench by President Donald Trump. Judge Charles Wilson dissented, writing that foreign investment is primarily a federal matter and that the Florida law conflicts with federal authority.
The Florida Attorney General’s office did not immediately comment on the ruling. The ACLU has signaled it will continue challenging similar laws in other states.
