California Proposition 13 vs. Texas (Long-Term Hold)

[Jefferson Kim]

Has anyone done an analysis on long-term hold commercial properties on California vs. Texas?

I used to think Texas was a "no-brainer" because of not having State Income Tax, but upon further analysis, the fact that California's Proposition 13 allows property tax appreciation at  a maximum of 2% per annum with property taxes ranging in the 1% range, ends up weighing heavily in favor over Texas (even after paying California State Income Tax).

I'm seeing break even after 4 years based on certain assumptions. Even if my initial assumptions are off, my analysis seems to place a heavy case that the California State Income Tax pales in comparison to the savings I receive in Proposition 13 over a 10 year horizon.

Is there anyone else coming to that conclusion or have done an analysis which counters my findings?