Mara McFadden (left), CEO of Endolumik, took home the top prize at the Ignite Fire Pitch Competition. Photo courtesy of Ignite

After virtual and postponed events, Ignite Healthcare Network finally got to honor its 2021 cohort and name the annual winners.

The Fifth Annual Fire Pitch Competition was slated to take place last November, but was postponed to January. Affected by the Delta and then Omicron variants of COVID-19, the event finally got to return to in-person networking and pitches on Thursday, March 3.

"The opportunity to bring people together is a really different level of engagement and energy," Ayse McCracken, founder and board chair of Ignite, says ahead of the awards event. "We love seeing the energy that's being generated in Houston around innovation — and particularly health care innovation."

Seven companies pitched and three were awarded monetary prizes. Morgantown, West Virginia-based Endolumik, which has developed a patent-pending fluorescence-guided device to improve visualization and safety of robotic and laparoscopic bariatric operations, took home the top prize, which included a total of $500,000 in investment prizes from the Texas Medical Center Venture Fund and Wavemaker Three-Sixty Health.

Second place was awarded to Rx Bandz of Locust Valley, New York. The company created the MiniJect, the world’s smallest military-grade auto-injector designed to deliver a wide range of injectable medication, and was awarded $250,000 from the Texas Halo Fund and $25,000 from The Southwest National Pediatric Device Innovation Consortium.

San Antonio-based Hera Biotech took third place and was awarded a pilot program prize with Banner Health. Hera has developed the first non-surgical, tissue-based test capable of diagnosing endometriosis.

Ignite taps into Houston health care institutions to provide opportunities for its cohort of companies. According to a news release, this year’s partner organizations included Houston Methodist, Memorial Hermann Health System, Texas Children’s Hospital, Texas Children’s Pediatrics, The Menninger Clinic, Banner Health, Kindred Healthcare, Aetna, Commonwealth Care Alliance, BLUE KC, Hospital for Special Surgery, Summit Health, TMC Ventures, Texas Heart Institute, Golden Seeds, Portfolia, The Artemis Fund, Wavemaker 360 Health, Prosalus Capital Partners, 7Wire Ventures, Texas Halo Fund, Unity Point Ventures and others.

The judges who evaluated the competition’s panel of companies included:

  • Jay Goss, MBA General Partner, Wavemaker Three-Sixty Health
  • Amanda Hammel, Chief Information Officer, Memorial Hermann Health System
  • Karen Hill, MD, MBA, SVP and Chief Medical Officer, Texas Children’s Health Plan
  • Tom Luby, PhD, Director, Texas Medical Center Innovation Institute
  • Fiona Mack, PhD, Head of JLABS @TMC
  • Roberta Schwartz, PhD, EVP and Chief Innovation Officer, Houston Methodist Hospital
  • Andrew Truscott, Global Health Technology Lead, Accenture
These five InnovationMap stories were the most read of 2021. Photo by Dwight C. Andrews/Greater Houston Convention and Visitors Bureau

Here are Houston's top 5 health innovation stories of 2021

2021 in review

Editor's note: As 2021 comes to a close, InnovationMap is looking back at the year's top stories in Houston innovation. When it came to the health care innovation and technology — whether it's a Q&A with a health tech entrepreneur or a digital health startup raising funds — in Houston, five stories trended among readers.

Fresh off a $1.4B exit, this Houston innovator is focused on funding medical device tech

Larry Lawson joined InnovationMap for a Q&A about his startup's recent exit, his role on the boards of five med device companies, his investment activity, and more. Photo courtesy of Larry Lawson

Earlier this year, Houston-based serial entrepreneur Larry Lawson celebrated the exit of his medical device company, Preventice Solutions, which he sold to Boston ScientificBoston Scientific in a $1.4 billion deal.

Nowadays, Lawson is laser focused on investing in the Houston innovation ecosystem, particularly in medical device, as well as working on Proxima Clinical Research, a contract research organization in the Texas Medical Center he co-founded with Kevin Coker.

Lawson joined InnovationMap for a Q&A about the exit, his role on the boards of five med device companies, and his investment activity. He also shares how he sees the impact of COVID-19 and where Houston's burgeoning innovation ecosystem is headed. Click here to read the full article.

Houston founder talks growth and innovation in the pharmaceuticals industry

Shaun Noorian, founder and CEO of Empower Pharmacy, joined InnovationMap for a Q&A on his rapidly growing compounding pharmacy business. Photo courtesy of Empower Pharmacy

When Shaun Noorian encountered what he felt was a poorly ran process, as an engineer, he built something better. Now, he runs one of the nation's largest compounding pharmacies that's at a pivotal time for growth.

Headquartered in Houston, Empower Pharmacy is opening two new facilities locally — one debuts later this year and the other in 2022. Ahead of this milestone for his company, Noorian joined InnovationMap for a Q&A about how he decided to start his company and how he's grown it from a small office to two 85,000-square-foot facilities — as well as how Houston has been a big part of his company's success. Click here to read the full article.

Report: Houston ranks among the worst cities for unnecessary medical treatments

Houston hospitals have been reported to have an excess of unnecessary health care tests and procedures. Photo by Dwight C. Andrews/Greater Houston Convention and Visitors Bureau

Houston boasts of being home to the Texas Medical Center, the world's biggest medical complex. Yet Houston's medical community also holds a distinction that's hardly boast-worthy: It's the worst major metro area in Texas for unnecessary health care tests and procedures.

A study released May 4 by the Lown Institute, a health care think tank, shows hospitals in the Houston area collectively fare worse than their counterparts in Dallas-Fort Worth, San Antonio, and Austin for overuse of tests and procedures that the institute says offer little to no benefit.

To come up with its ranking, the institute looked at Medicare data for more than 1 million tests and procedures performed at over 3,100 U.S. hospitals from 2016 to 2018. Among the overused tests and procedures identified in the study are hysterectomy for benign disease, placement of coronary stents for stable heart disease, and diagnostic tests like head imaging for fainting.

"Overuse in American hospitals is a pervasive problem that needs to be addressed," Dr. Vikas Saini, president of the Lown Institute, says in a news release. "Hospitals want to do better, and these objective measures of performance can help them move forward." Click here to read the full article.

These are the 7 newest health tech companies to join TMCx

After a virtual bootcamp, the TMCx team selected seven startups to move forward in the accelerator. Photo courtesy of TMC

Last year, TMCx, the Texas Medical Center's health tech startup accelerator pivoted to digital programming.

The accelerator revamped its program to allow for an initial Bootcamp stage that would bring in a larger group of startups and then, after the boot camp, the program would move forward with a smaller group through the official acceleration process.

"We hosted 21 companies, representing six countries and 10 states, who each engaged with subject matter experts, clinical leaders, and corporate partners," writes Emily Reiser, senior manager of Innovation Community Engagement at TMC Innovation, in a blog post. "Over half of which ended Bootcamp in advanced discussions with hospitals and/or corporate partners." Click here to read the full article.

Houston biotech startup announces merger and $10M series A

A biotech startup focused on developing therapeutics for neurodegenerative and autoimmune diseases has some big news to share. Photo via Getty Images

A Houston company has emerged from stealth mode to announce a merger and a round of financing.

Coya Therapeutics, a clinical-stage biotech startup that focuses on creating therapeutics for neurodegenerative and autoimmune diseases, announced that it has completed a merger with Nicoya Health Inc. and raised $10 million in its series A. The round was led by Florida-based Allele Capital Partners LLC. Howard Berman, founder and board of directors for imaware, has been named CEO of Coya, as well as a member of the company's board of directors.

Coya's therapeutics uses innovative work from Dr. Stanley H. Appel, co-director of Houston Methodist Neurological Institute and Chair of the Stanley H. Appel Department of Neurology at Houston Methodist Hospital. The researcher has created a way to "isolate dysfunctional Tregs from a patient, convert them to a highly functional and neuroprotective condition, and expand these cells into the billions for intravenous reinfusion back to the patient," says Berman in a news release. This revolutionary work overcomes previous limitations in the field.

"I'm excited to have the opportunity to lead Coya at such an exciting and pivotal phase of growth," Berman says. "Through our sponsored research program in conjunction with Dr. Appel, we look forward to continuing advancement of this promising work and translating this work into a meaningful therapy for patients." Click here to read the full article.

These Houston startups have created health care-related solutions amid the coronavirus outbreak. Getty Images

These 7 Houston health tech companies are providing COVID-19 solutions

startups to the rescue

It's all hands on deck in Houston in the battle against coronavirus — and local biotech startups have risen to the occasion.

From mental health solutions and online portals to virtual medicine and new treatments, these Houston companies have recently launched or pivoted to new options in health care.

Mental Health Match

Ryan Schwartz is offering free counseling to Texans. Photo courtesy of Mental Health Match

Mental Health Match, a Houston-based startup that uses tech to easily connect people to mental health professionals, has announced the opportunity for 100 Texas residents to get their first appointment free and remotely.

The company cites data that shows:

  • A 78 percent increase in Texans who are concerned about their marriage
  • A 71 percent increase in Texans concerned with their parenting or their children
  • A 35 percent spike in Texans feeling panicked

"You might be practicing social distancing, but you are not alone. It is easier to make it through this together if you can get support and guidance from a skilled professional. That's why we're working with therapists across Texas to provide a free session to individuals who need it most," says Ryan Schwartz, founder of Mental Health Match, in a news release.

Texans can apply for the free sessions online on a first-come, first-served basis.

Medical Informatics Corp.

Medical Informatics Corp.'s Sickbay platform can monitor patients from afar. Photo via michealthcare.com

Houston-based Medical Informatics has created a virtual ICU program, called Sickbay, and the tech tool is being used to remotely monitor patients in Houston Methodist. The program works around the clock from a control hub to use artificial intelligence and algorithms to monitor patients.

The company, which recently moved into its office in TMCx+, announced major growth in January, just ahead of the coronavirus outbreak.

"We designed our Sickbay platform to give lost data back to doctors, nurses and other members of the care team so they could save more lives," says Vincent Gagne, vice president of product for MIC, in a news release. "In fact, our apps are built in collaboration with our clients, such as Texas Children's Hospital and Houston Methodist. Having these facilities blocks away from our headquarters accelerates that collaboration and development."

MolecularMatch

MolecularMatch is bringing together COVID-19 information and trials. Photo via molecularmatch.com

MolecularMatch, a Houston startup focused on clinical informatics, has launched a free portal that accumulates research and clinical trials for COVID-19. The company is a tenant of TMCx+ and a portfolio company of Houston-based venture capital group GOOSE.

"The number of therapeutic cures and vaccines being tested are growing at an astounding rate," says Eric Pulaski, CEO at MolecularMatch, in a news release. "Our tools make it easier for clinicians and patients to find the help they need. Hopefully, we can help save lives by shortening the time it takes to get more patients into clinical trials and by speeding up research to find cures and vaccines."

The product uses the company's artificial intelligence-backed curation platform and is updated every two to three days.

Luminare

Luminare Inc. pivoted to quickly create an online COVID-19 screening tool, and local governments have tapped into the resource.Andriy Onufriyenko/Getty Images

Founded in 2014, Houston-based health care software startup Luminare Inc. seeks to prevent sepsis, a life-threatening reaction to a host of infections that causes about one-third of U.S. hospital deaths. Recently, though, Luminare pivoted to address another health concern — the threat of the novel coronavirus.

After the novel coronavirus surfaced, Luminare retooled its sepsis-detection platform to create a free online self-assessment test for people who suspect they've contracted the virus. The test, available at CheckForCorona.com, helps someone figure out whether they should seek a coronavirus test.

An online screening typically takes less than two minutes. The confidential, secure assessment complies with guidelines from the U.S. Centers for Disease Control and Prevention (CDC) and the World Health Organization (WHO). Based on your assessment results, you might be directed to contact your local health department or, in the worst-case scenario, call 911. Click here to read more.

Manatee

Manatee users can sign up for three months free. Photo via getmanatee.com

Denver-based Manatee was just announced to be selected for the 2020 TMCx cohort, and — while programming is beginning virtually — the startup will be enroute to Houston as soon as it's safe. Manatee focuses on providing connected, everyday therapy for kids.

In light of the effects of COVID-19 on both parents and children, Manatee has allowed users to register for three months free. Individuals can apply online.

Moleculin Biotech Inc.

Houston-based Moleculin, which works on oncology treatment, has filed a patent for its treatment to battle the coronavirus. Getty Images

Houston-based Moleculin Biotech Inc., a clinical stage pharmaceutical company that typically focuses on cancer treatment, announced that it has filed for a new patent for its use of one of its products to be used against the coronavirus and other potential viruses.

This patent application is for Moleculin's WP1122, and the company has entered into a partnership with a major Texas university to advance its research.

"We've actually been working on the antiviral potential of WP1122 for some time now," says Walter Klemp, Moleculin's chairman and CEO, in a news release, "but the rise of COVID-19 has obviously placed a new sense of urgency on what we are doing. We hope to be generating animal data on WP1122's antiviral potential in the near term."

Pulmotech Inc.

Pulmotect, a clinical-stage biotechnology company based in Houston, is testing a drug that could be useful in mitigating the threats of the coronavirus, which is currently been recognized as a global health emergency. Getty Images

Experiments conducted by clinical-stage, Houston-based biotechnology company Pulmotect Inc. show its PUL-042 inhaled drug has proven effective in protecting mice against two types of coronavirus: severe acute respiratory syndrome (SARS) and Middle East respiratory syndrome (MERS). Researchers performed those tests at the University of Texas Medical Branch at Galveston.

In the Galveston experiments, a single inhaled dose of PUL-042 protected lab mice from the SARS virus, and it greatly reduced the amount of virus in their lungs after the mice became infected with SARS or MERS.

"With the risks of virulent coronaviruses and other threats increasing, as shown by the recent outbreak in Wuhan that has already spread from China to other countries including the United States, Pulmotect is optimistic that its immune-stimulating technology could be useful in mitigating the threats of current and emerging pathogens and protecting vulnerable populations," says CEO Dr. Colin Broom in a news release. Click here to read more.

Houston, home to the largest medical center in the world, had a lot of trending health tech stories this year. Photo by Dwight C. Andrews/Greater Houston Convention and Visitors Bureau

Top 5 Houston health tech stories of 2019

2019 in review

Editor's note: As 2019 comes to a close, InnovationMap is looking back at the year's top stories in Houston innovation. Within the health category, top stories included new details from the Texas Medical Center's ongoing TMC3 project, health tech and medical device startups in Houston, and more.

Texas Medical Center reveals new details and renderings for its TMC3 campus

The design and construction team has been announced for TMC3. Courtesy of Elkus Manfredi Architects

The Texas Medical Center just announced the dream team of architects and designers that are making TMC3 into a reality.

Elkus Manfredi Architects, Transwestern, and Vaughn Construction are the three companies that will serve as the architectural and development team for the 37-acre research campus. TMC3's founding institutions — TMC, Baylor College of Medicine, Texas A&M University Health Science Center, The University of Texas Health Science Center at Houston, and The University of Texas MD Anderson Cancer Center — decided on the three entities.

"Texas Medical Center is eager to move forward with a bold, imaginative and dynamic new design vision for the TMC3 Master Plan," says TMC CEO and president, Bill McKeon, in a press release. "With the combined talents of Elkus Manfredi Architects, Transwestern, and Vaughn Construction on-board, I couldn't be more confident that this dream team will flawlessly execute the totality of the project's vision and fulfill its mission to bring together leading researchers and top-tiered expertise from the private sector to create the number one biotechnology and bioscience innovation center in the entire world."

TMC3 was first announced just over a year ago and is planned to open in 2022. The campus will incorporate research facilities, retail space, residential plans, a hotel and conference center, and green space. Parking will be underground to optimize surface area. To continue reading this top story, click here.

5 Houston medical device companies changing the industry

As medicine and technology both advance, these Houston startups are at the forefront of the industry. Getty Images

With the Texas Medical Center at the heart of Houston, health advancement opportunities are endless. Medical breakthroughs are happening across town, but as technology advances, the industry is seeing more and more startups popping up to take new tech tools and applying them to traditional medical devices and procedures.

These five Houston startups are developing the future of the industry — one device at a time. To continue reading this top story, click here.

Houston medical device company gains FDA approval

Houston-based Saranas has received de novo distinction from the FDA for its bleed monitoring technology. Courtesy of Saranas

When it comes to early bleeding detection, Houston-based Saranas, which closed $2.8 million in funding last year, is ahead of the game with its Early Bird Bleed Monitoring System. The Food and Drug Administration has recognized the medical device company and granted it De Novo distinction.

"Gaining FDA approval for the Early Bird is a significant milestone for Saranas as it demonstrates our continued commitment to address an unmet need for real-time detection and monitoring of endovascular bleed complications," says Saranas president and CEO, Zaffer Syed in a release. "As the first and only device on the market for early bleed detection, we have the potential to significantly reduce bleeding complications and related healthcare costs, while improving clinical outcomes in patients undergoing endovascular procedures."

The Early Bird technology is designed to detect bleeding from vessel injury caused by a surgery, for instance. One in five patients experienced a bleed complication in over 17,000 large-bore transcatheter procedures, according to the release which cites the National Inpatient Sample Database. To continue reading this top story, click here.

5 Houston biotech companies taking health care to new levels

With the Texas Medical Center in their backyard, these Houston biotech companies are creating breakthrough technologies. Getty Images

Houston is the home of the largest medical center in the world, so it comes as no surprise that the Bayou City is also home to breakthrough technologies. Here are five Houston companies developing some of this biotech advancements. To continue reading this top story, click here.

TMCx announces its next medical device cohort with 5 startups hailing from Houston

The next TMCx cohort begins August 5. Courtesy of TMC

The Texas Medical Center's startup accelerator, TMCx, has added 19 companies from all around the world to join its medical device family.

The TMC Innovation Institute team narrowed down 140 applications to 40 for the second round of the process, which includes face-to-face interviews, according to a release. After those, 18 companies were selected to join the TMCx09 class, which focuses on medical devices. The last cohort, which specialized in digital health, concluded on June 6.

Out of the 18 companies, five are from Houston. Four other startups hail from other corners of the United States, while 10 international companies also made the cohort. The program commences on August 5, and will run for four months before concluding in a demo day event in November. To continue reading this top story, click here.

Houston researchers are commercializing their organ 3D printing technology, a local hospital has a tiny medical device with a big impact, and more in health tech. Jordan Miller/Rice University

3 health technologies developed in Houston that are changing the industry

Game changers

There's a huge opportunity for breakthrough medical technology in Houston thanks in large part to major universities, the Texas Medical Center, and other resources within health care startups.

From a new tiny implant that can deliver medicine into the patient remotely to printable human tissue, here are three health technologies coming out of Houston innovators to look out for.

Houston Methodist's tiny drug delivery implant

This tiny implant can have a big effect on patients. Courtesy of Houston Methodist

Houston Methodist nanomedicine researchers have developed an implant the size of a grape that can deliver medicine via a remote control. The device has applications in arthritis, diabetes, and heart disease treatment.

The battery-powered nanochannel deliver system uses Bluetooth technology and can dole out continuous, predetermined dosages for up to a year without refills. A proof-of-concept for the device published in Lab on a Chip.

"We see this universal drug implant as part of the future of health care innovation," says Alessandro Grattoni, chair of the nanomedicine department at Houston Methodist. "Some chronic disease drugs have the greatest benefit of delivery during overnight hours when it's inconvenient for patients to take oral medication. This device could vastly improve their disease management and prevent them from missing doses, simply with a medical professional overseeing their treatment remotely."

The devices can be programed for different dosage sizes and different release settings, which affect the voltage for the medicine delivery.

Houston Methodist has a number of new technologies it's introduced into its hospital system — click here to read about a few more.

NurseDash's resourceful scheduling tool

Houston-based NurseDash is the Uber of staffing nursing shifts in medical facilities. Photo via nursedash.com

Filling open nursing shifts has always been a challenge for hospitals and medical centers, and they've been forced to rely on outsourced companies to coordinate nurses to fill the shifts. NurseDash puts the power back in the hands of freelance nurses and the medical institutions that want to hire them.

Andy Chen, former CFO for Nobilis Health Corporation and co-founder of NurseDash, says the standard practice is hiring these agencies to fill shifts, and, while they promise to send someone, they don't even know who they'll be sending for a shift just hours away. This antiquated system prioritizes who comes in first, rather than a nurse's specialties or qualifications.

Since its debut, NurseDash, which is based in Houston's Galleria Area, has attracted 40 facilities in Houston, including hospitals, surgery centers, and senior living, and about 400 nurses. Chen says he isn't sure just what to call his technology yet, but compares it to the ride hailing of Uber or Lyft and calls it "a virtual bulletin board."

The company has already expanded beyond Houston to northeast Ohio, which the founders say has a similar competitive dynamic to the Houston market. The next goal is to hit the rest of the top 10 largest cities in the United States. To read more about the app and startup, click here.

Volumetric's human tissue-printing technology

Rice University bioengineer Daniel Sazer prepares a scale-model of a lung-mimicking air sac for testing. Jeff Fitlow/Rice University

In a world where organ transplants means an incredible amount of time, money, and patience, there might soon be another option on the operating table. Volumetric is a startup that came out of a human tissue-printing technology developed at Rice University.

Jordan Millar developed the 3D printer in his lab at Rice, and still has ongoing research within the technologies. However, Miller says he very strategically chose to launch a for-profit company in 2018 — mainly, to provide access.

"If we want to do translational research, commercialization is important," reasons Miller. "We need to build the market to get that technology into the world."

Right now, the device is printing scaled down organs, and a contraption that looks a bit like a futuristic beehive, graced the cover of the May 3 issue of the journal Science. It's a working air sac complete with blood vessels, the beginnings of a technology that is perhaps only a decade from being implanted in humans. To read more about Volumetric, click here.


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$100M Houston VC fund launches to back technical founders

show me the money

A new venture capital fund has launched with an initial $100 million mission of supporting founders with innovative critical infrastructure solutions.

Fathom Fund, which is looking to build out a portfolio of advanced computing, material science, climate resilience, and aerospace startups, announced they've launched with an initial close of over $100 million. The fund is founded by longtime investors Managing Partners Paul Sheng and Eric Bielke.

"We believe recent technological advances have accelerated the pace of scientific discovery, increasing the pool of technology companies that can produce venture-scale returns," Sheng says in a news release.

According to the fund, it hopes to bridge the gap for early stage capital for physical innovations and "moonshot" projects.

“What’s lacking in venture is rigorous technical diligence at the early stages and a playbook to scale these innovations at the pace necessary to lead industries," Bielke adds. "With this launch, we are looking forward to supporting founders with some of the most disruptive and novel ideas.”

The founder duo will bring each of the career expertise to their future portfolio companies. Sheng spent decades at McKinsey & Co and was the firm's head of the Global Energy & Materials practice. Bielke is a former director at Temasek’s Emerging Technologies Fund.

Houston is the 4th best U.S. city for Black professionals, report finds

Black History Month

In acknowledgement of Black History Month 2024, a new report compiled by Black employees at online rental marketplace Apartment List has ranked Houston the No. 4 best U.S. city for Black professionals.

Apartment List reviewed 76 cities across four major categories to determine the rankings: community and representation; economic opportunity; housing opportunity; and business environment.

Houston earned a score of 63.01 out of a total 100 points, making it the second-highest-ranked city in Texas for Black professionals, behind San Antonio (No. 3).

The city earned top-10 rankings in three out of the four main categories:

  • No. 3 – Business environment
  • No. 4 – Community and representation
  • No. 10 – Economic opportunity
  • No. 21 – Housing opportunity

Houston is commended for its strong Black business environment and economy, but there is some room for improvement when it comes to housing. Similarly to Apartment List's 2022 report – which also placed Houston at No. 4 – a little less than half (44 percent) of all Black Houston households are spending over 30 percent of their income on housing, which has increased two percent since 2019.

Houston has a larger Black population than San Antonio, at 19 percent, but its Black population share is overall lower than other cities in the top 10.

"Furthermore, the community is well-represented in some critical occupations: 20 percent of teachers are Black, as are 21 percent of doctors," the report said. "Houston is also home to the HBCU Texas Southern University, helping a job market when the median Black income is several thousand dollars above average."

Houston also has the highest rate of Black-owned businesses in the entire state, at 18 percent.

"From the Mitochondria Gallery to Ten Skyncare and Wisdom’s Vegan Bakery, Houston has it all!" the report said.

Here's how Houston stacked up in other metrics:

  • Black homeownership: 42 percent
  • Black lawyers: 14 percent
  • Black managers: 14 percent

Elsewhere in Texas
Texas cities dominated the overall top 10. San Antonio ranked just above Houston, with Dallas (No. 6) and Austin (No. 7) not too far behind.

San Antonio came in less than 2.5 points ahead of Houston with a total score of 65.44 points. The report praised San Antonio's scores across its economic opportunity (No. 2), housing opportunity (No. 7), and community and representation (No. 10). The city ranked No. 20 for its Black business environment.

But like Houston, San Antonio also fell behind in its Black homeownership rates, according to the study.

"While the Black homeownership rate is higher than average at 44 percent, the homeownership gap (Black homeownership rate - non-Black homeownership rate) quite low at -19 percent," the report's author wrote. "Perhaps this could be explained by San Antonio’s overall homeownership rate, which is also lower than the state’s average. Additionally, the lower homeownership gap could explain the cost burden rate also being lower than average at 41 percent."

The top 10 cities for Black professionals are:

  • No. 1 – Washington, D.C.
  • No. 2 – Atlanta, Georgia
  • No. 3 – San Antonio, Texas
  • No. 4 – Houston, Texas
  • No. 5 – Palm Bay, Florida
  • No. 6 – Dallas, Texas
  • No. 7 – Austin, Texas
  • No. 8 – Colorado Springs, Colorado
  • No. 9 – Lakeland, Florida
  • No. 10 – Charlotte, North Carolina
The full report and its methodology can be found on apartmentlist.com.

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This article originally ran on CultureMap.

Houston expert: Can Houston replicate and surpass the success of Silicon Valley?

guest column

Anyone who knows me knows, as a Houston Startup Founder, I often muse about the still developing potential for startups in Houston, especially considering the amount of industry here, subject matter expertise, capital, and size.

For example, Houston is No. 2 in the country for Fortune 500 Companies — with 26 Bayou City companies on the list — behind only NYC, which has 47 ranked corporations, according to Fortune.

Considering layoffs, fund closings, and down rounds, things aren’t all that peachy in San Francisco for the first time in a long time, and despite being a Berkeley native, I’m rooting for Houston now that I’m a transplant.

Let’s start by looking at some stats.

While we’re not No. 1 in all areas, I believe we have the building blocks to be a major player in startups, and in tech (and not just energy and space tech). How? If the best predictor of future success is history, why not use the template of the GOAT of all startup cities: San Francisco and YCombinator. Sorry fellow founders – you’ve heard me talk about this repeatedly.

YCombinator is considered the GOAT of Startup Accelerators/Incubators based on:

  1. The Startup success rate: I’ve heard it’s as high as 75 percent (vs. the national average of 5 to 10 percent) Arc Search says 50 percent of YC Co’s fail within 12 years – not shabby.
  2. Their startup-to-unicorn ratio: 5 to 7 percent of YC startups become unicorns depending on the source — according to an Arc Search search (if you haven’t tried Arc Search do – super cool).
  3. Their network.

YC also parlayed that success into a "YC Startup School" offering:

  1. Free weekly lessons by YC partners — sometimes featuring unicorn alumni
  2. A document and video Library (YC SAFE, etc)
  3. Startup perks for students (AWS cloud credits, etc.)
  4. YC co-founder matching to help founders meet co-founders

Finally, there’s the over $80 billion in returns, according to Arc search, they’ve generated since their 2005 inception with a total of 4,000 companies in their portfolio at over $600 billion in value. So GOAT? Well just for perspective there were a jaw-dropping 18,000 startups in startup school the year I participated – so GOAT indeed.

So how do they do it? Based on anecdotal evidence, their winning formula is said to be the following well-oiled process:

  1. Bring over 282 startups (the number in last cohort) to San Francisco for 90 days to prototype, refine the product, and land on the go-to-market strategy. This includes a pre-seed YC SAFE investment of a phased $500,000 commitment for a fixed min 7 percent of equity, plus more equity at the next round’s valuation, according to YC.
  2. Over 50 percent of the latest cohort were idea stage and heavily AI focused.
  3. Traction day: inter-portfolio traction the company. YC has over 4,000 portfolio companies who can and do sign up for each other’s companies products because “they’re told to."
  4. Get beta testers and test from YC portfolio companies and YC network.
  5. If they see the traction scales to a massively scalable business, they lead the seed round and get this: schedule and attend the VC meetings with the founders.
  6. They create a "fear of missing out" mentality on Sand Hill Road as they casually mention who they’re meeting with next.
  7. They block competitors in the sector by getting the top VC’s to co-invest with then in the seed so competitors are locked out of the A list VC funding market, who then are up against the most well-funded and buzzed about players in the space.

If what I've seen is true, within a six-month period a startup idea is prototyped, tested, pivoted, launched, tractioned, seeded, and juiced for scale with people who can ‘make’ the company all in their corner, if not already on their board.

So how on earth can Houston best this?

  1. We have a massive amount of businesses — around 200,000 — and people — an estimated 7.3 million and growing.
  2. We have capital in search of an identity beyond oil.
  3. Our Fortune 500 companies that are hiring consultants for things that startups here that can do for free, quicker, and for a fraction of the extended cost.
  4. We have a growing base of tech talent for potential machine learning and artificial intelligence talent
  5. A sudden shot at the increasingly laid off big tech engineers.
  6. We have more accelerators and incubators.

What do we need to pull it off?

  1. An organized well-oiled YC-like process
  2. An inter-Houston traction process
  3. An "Adopt a Startup" program where local companies are willing to beta test and iterate with emerging startup products
  4. We have more accelerators but the cohorts are small — average five to 10 per cohort.
  5. Strategic pre-seed funding, possibly with corporate partners (who can make the company by being a client) and who de-risk the investment.
  6. Companies here to use Houston startup’s products first when they’re launched.
  7. A forum to match companies’ projects or labs groups etc., to startups who can solve them.
  8. A process in place to pull all these pieces together in an organized, structured sequence.

There is one thing missing in the list: there has to be an entity or a person who wants to make this happen. Someone who sees all the pieces, and has the desire, energy and clout to make it happen; and we all know this is the hardest part. And so for now, our hopes of besting YC may be up in the air as well.

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Jo Clark is the founder of Circle.ooo, a Houston-based tech startup that's streamlining events management.