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Tuesday, January 13, 2026

Good Morning! On this day in 1939, Big Thicket outlaw Red Golemon was arrested for the first time in Corpus Christi for the murder of an oil rig builder. The "Red Fox of the Big Thicket" was killed at his parents' home in Hardin County the following year.

A Houston-area 11-year-old set a world record this past weekend. Check out today's Roundup section for details.

Today's sponsor is AARE, a real estate investment platform that aims to help everyday investors participate in what it believes may be the most compelling real estate buying opportunity since the post-2008 cycle.

Take The Flyover with you. Busy day? Listen to our daily 15-minute podcast while commuting, cooking, or walking the dog—your Flyover fix, anywhere.

Hegseth Promotes Arsenal of Freedom

U.S. Secretary of War Pete Hegseth visited defense contractors Lockheed Martin in Fort Worth and SpaceX in Starbase yesterday as part of his Arsenal of Freedom tour, which aims to "fuel a revival of our defense industrial base" amid concerns about Pentagon bureaucracy.

Joined by U.S. Sen. John Cornyn, Hegseth praised the workers at Lockheed Martin's F-35 production facility, saying they "make incredible, exquisite platforms."

He added that "our job is to create the environment where you can run and run fast," acknowledging the Pentagon is "very good at paperwork" and promising to "overturn the entire way we do business."

In Starbase, Hegseth administered the oath of enlistment to a handful of Navy recruits and was joined by SpaceX CEO Elon Musk at the company's Starship launch site, where he pledged to transform the U.S. military into an "AI-first warfighting force."

Last week, U.S. Space Systems Command awarded SpaceX with a $739 million contract to launch satellites with "missile warning and missile tracking capability."

Duck Hunters Rescued After Boat Sinks

Two duck hunters were rescued after their boat sank in Cedar Creek Lake on Saturday. Strong winds and choppy conditions complicated rescue efforts.

First responders were dispatched around 10:16 a.m. after receiving a call about a boat taking on water. After the Seven Points Fire Department was unable to locate the hunters from the shoreline, the Gun Barrel City Fire Department and Tool Fire Department launched rescue boats.

The hunters were found north of the State Highway 334 bridge, about 500 yards from the western shore. They were transported to a nearby hospital for evaluation after being in the 56-degree water for about 90 minutes.

"I am very proud of how all of the agencies worked together today to rescue the duck hunters and safely return them to their families," said Gun Barrel City Assistant Fire Chief Jason Raney, who called the operation a "very dangerous rescue."

The Texas Game Wardens are investigating the incident.

Records Broken During Houston Road Race

A world record and two course records were broken Sunday during the Chevron Houston Marathon and Aramco Houston Half Marathon.

Leonel Mendoza, an 11-year-old at Kolter Elementary in Meyerland, ran the 13.1-mile half marathon in 1:23:23—a pace of 6:13 per mile—breaking the previous record for his age group by 35 seconds. He began running at the age of seven and is a member of the Heart of Houston Track Club.

"Near mile 11, I could really feel it, and I almost wanted to quit, but I didn't quit because I just knew I could get through and get to the end, and I would regret it if I stopped," said Leonel, adding he "wanted that record."

Zouhair Talbi, who represented Morocco at the 2024 Olympics, ran the marathon in 2:05:45, breaking his own course record by nearly a minute. Talbi, a recently naturalized U.S. citizen and enlistee in the U.S. Army Reserve, is the first American man to win the event since 2002.

In the half marathon, Habtom Samuel of Eritrea set a course record of 59:01. A student at the University of New Mexico, he won last year's NCAA cross country championship.

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A Pivotal Opportunity in Real Estate, Echoing 2008

A pattern is emerging that only happens once every 15 years or so. Typically, only real estate insiders are in a position to act on it in time.

The last time this happened, Blackstone created Invitation Homes and went on a $10 billion buying spree. It resulted in billions in profit, and Invitation Homes is now a public REIT.

Nearly two decades later, the market is aligning again. Another million-dollar operator is moving in. But this time, they're giving everyday investors a seat at the table.

Just like before, it's all about timing as the Federal Reserve makes a critical U-turn in its policy.

From 2022 to 2024, the Fed raised interest rates at a historic pace, contributing to 30-40% lower real estate prices today. With the Fed lowering interest rates, this could supply a major tailwind to real estate values going forward.

AARE has spent 20+ years preparing for this exact moment.

They've assembled a war chest of income-producing properties, with $2.75B+ in transactions.

Their experience gives AARE a strong advantage in today's market.

And they're still at ~$39M valuation, while other REITs are valued 100x more.

Many of these REITs saw massive upside last cycle thanks to buying sprees of their own:

Prologis stock gained 950%
American Tower stock gained 910%
Crown Castle stock gained 1,300%

Now's the time to look for potential upside in addition to the classic REIT income.

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➤ A third New World screwworm infection has been confirmed in the Mexican border state of Tamaulipas. "The screwworm now may be moving closer on its own, with no apparent link to commercial animal movement," according to Texas Agriculture Commissioner Sid Miller. (More)

➤ Harris County: First responders rescued an unidentified man from a sewer early Monday. Authorities believe he might have been trapped for days. (More)

➤ El Paso: A water main break that occurred Saturday has caused service disruptions of "unprecedented proportions," forcing the city to issue a boil water notice for over 100,000 residents. More than a dozen schools have canceled classes. (More)

➤ Boerne ISD: Administrators hosted a demonstration of a drone system designed to confront school shooters within seconds of an attack. The district is working on an agreement with Austin-based Campus Guardian Angels to deploy the technology. (Watch Video)

➤ Henderson County: Authorities arrested Lance Kaeden Rains, 25, for the alleged murders of 47-year-old Gabriel McBride and his 17-year-old daughter, Beverly, in 2018. "Time does not diminish our commitment to justice, and today's arrest is proof that we will pursue the truth for as long as it takes," said Sheriff Botie Hillhouse. (More)

➤ Conroe: A judge ordered the city to accept a petition from the Conroe Professional Fire Fighters Association for a May election to authorize collective bargaining. (See Details)

➤ Austin: The Texas Secretary of State's Office complied with a U.S. Department of Justice request to share the state's voter roll to ensure "proper list maintenance and compliance with federal law." The list includes voters' dates of birth, driver's license numbers, and the last four digits of their Social Security numbers, according to a spokesperson. (More)

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➤ The Houston Texans sealed off a 30-6 win over the Steelers last night with a pick-six in the final minutes of the game. Pittsburgh quarterback Aaron Rodgers finished with just 146 passing yards on the night, the lowest playoff total of his career. (See Highlight)

➤ Houston stayed at No. 7 in this week's men's college basketball AP poll, while Texas Tech dropped to No. 15. SMU dropped out of the rankings after making their debut in the Top 25 last week. (See Poll)

➤ No. 2 Texas women's basketball was upset 70-65 by No. 12 LSU this weekend for their first loss of the season. (More)

➤ The Texas Longhorns landed former Auburn wide receiver Cam Coleman in the transfer portal. Coleman was ranked the No. 1 remaining receiver in the portal. (More)

➤ The Dallas Cowboys will pick 12th and 20th in this year's NFL Draft following the Packers' loss to the Bears this weekend. (More)

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➤ Shiner Beer is rolling out a non-alcoholic version of its flagship Shiner Bock. The amber brew "blends roasted barley malt, German specialty hops, and artesian well water," according to a press release. (More)

➤ President Trump said he "didn't like Exxon's response" when he met with oil executives at the White House on Friday to discuss rebuilding Venezuela's oil industry, adding he's "inclined" to exclude the Houston-based company from activity in the oil-rich country. ExxonMobil CEO Darren Woods said Venezuela is currently "uninvestable." (More)

➤ Enrollment in the state's Compassionate Use Registry—a database of patients authorized to purchase medical marijuana—increased 32% last year. State lawmakers approved expanding the number of licensed dispensaries from three to 15. (See Details)

➤ Google is planning to open its second retail store in Texas at The Galleria in Houston, according to a filing submitted to the Texas Department of Licensing and Regulation. Its first location in Austin opened last May. (More)

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Real Estate Is "Too Cheap to Ignore"

That's the word from the Wall Street Journal.

It's part of a market cycle that only comes around every 15 years or so.

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Commercial real estate is one of the highest-quality assets on the market. That's why some REITs are valued at up to $120 billion, more than 100x AARE's current $39 million valuation, which points to real upside potential.

Plus, they plan to pay out up to 100% of income in dividends*. But it gets even better…

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➤ San Antonio 11-year-old Miriam Spumpkin stars in the film Five Nights at Freddy's 2, which has earned more than $200 million in worldwide ticket sales since its Dec. 5 debut. (More)

➤ A 115-year-old Houston home once owned by prominent local caterer Jackson Hicks has been listed for $2.25 million. Hicks, known as the "Prince of Parties," was a friend of former President George H. W. Bush and frequently catered events for the Barbara Bush Houston Literacy Foundation. (More)

➤ Norah and Olivia Tatum, Dallas eighth graders and identical twins, are contestants in Food Network's Baking Championship: Next Gen, which features 12 teams of young siblings competing for a $25,000 prize. "Being on TV is like a dream come true," said Olivia. (More)

➤ Brotherton's Black Iron Barbecue in Pflugerville—one of Texas Monthly's Top 50 BBQ Joints in 2021—shared it was "on the brink of having to close our doors for good" in a Jan. 6 social media post. It sold out before 2 p.m. the next two days. (More)

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