Platte County hopeful new KCI terminal will boost area development

When KCI opened in 1972 at its present location, Pete Fullerton, assistant director of properties and commercial development with the City of Kansas City, Missouri Aviation Department, said there was hope that there would be significant development around the airport. But, unfortunately, that development never materialized.

“Okay, we have a second opportunity to {make the} impact that perhaps folks had thought about in the late ‘60s or early ‘70s, but {now} there’s more opportunity. I think there’s more density of population, there’s a little more synergies and other things that are up there to be able to {make it happen},” said Fullerton.

Fullerton, joined by panelists Tina Chace, executive director of Platte County Economic Development Council, and Jade Liska, deputy director of planning and engineering division with the City of Kansas City, Missouri Aviation Department, discussed the new Kansas City International Airport (KCI) terminal facility and its impact on Platte County commercial real estate development at a CREW KC’s luncheon last week.

“Platte County is open for business. That’s about as clear as I can make it.  There’s just a lot of opportunity,” said Chace.

The airport land owned by the City of Kansas City at 11,000 acres, is the third largest in the country, said Fullerton. The actual aviation-related development is only 4,000 acres. 

“If you drive the circle around, it takes you 30 minutes to get around,” Fullerton said.

Fullerton said the conversation about doing commercial development started in 2004 when the aviation department determined it needed to diversify the revenue streams away from reliance primarily on the airlines. Trammel Crow Company was selected as the master developer in 2006. Permitting and infrastructure development occurred from 2007 through 2011 on a 600-acre site. 

Fullerton said that in the past ten years, eight buildings have been constructed on the site, representing 3 million SF, for the project known as KCI Intermodal Logistics Centre. All the development is subject to ground leases which currently generate approximately $1 million in ground rent. Two additional buildings are under design. 

Fullerton said there still is more than 1,900 acres of prime airport land available for future development. 

“Hopefully, we can get some of these RFPs out on the street sometime in the next year,” he said.

Chace said the new terminal means more dollars not just for Platte County, but for the entire region. Interest in Platte County development has increased greatly in the past few years, including current Platte County businesses seeking to expand. 

“That’s really essential for Platte County to make sure that we’re taking care of our own as well as bringing in new,” said Chace.

Hunt Midwest earlier this year announced its intention to develop KCI 29 Logistics Park on a 3,300-acre site just northeast of KCI. The planned industrial park could see $1.5 billion in investment and potentially bring in 9,000 jobs. 

“And they can do anything from manufacturing, distribution, warehouse. I think there’s even going to be a little bit of office as well as supporting services for these businesses,” Chace said.

Chace said less than two miles from the airport at I-29 and Highway 92 in Platte City, Van Trust Real Estate, LLC is constructing approximately 830,000 SF of speculative industrial space with a project called Platte International Commerce Center.

“We want to be a diverse county. We want to have office. We want to have tech too,” said Chace.

“This {KCI project} is the largest capital program in the city’s history at $1.5 billion,” said Liska.

Liska said the new facility will be approximately 25 percent larger than the current terminals the day it opens. 

“We operate out of about 30 gates between Terminals B and C, and with this facility, we are going to open up 39 gates on day 1. That means every airline wants a little bit more space, wants a little bit more gates and the opportunity for more flights,” said Liska.

Other new features include a single 6,200-space parking garage with a guidance system to alert drivers where there are open stalls.

“We do have a sustainability parking program. We have solar panels in and around the garage as well as the overall finishes of the facility. So very consolidated, but also very improved,” Liska said.

He said the city council and community wanted the airport to be the most inclusive in the country. It will feature two all-gender restroom locations in addition to gender-specific restrooms, and there will be clear signage throughout to guide travelers.

The terminal also will feature a new single baggage carousel facility that all airlines will share and work together.  Liska said currently each airline is responsible for moving its own baggage and one cannot help another if there is a baggage jam.

With 39 glass jet boarding bridges, KCI will have the most in the country, LIska said.

The airport project also will feature more than $5,5 million in artwork by more than 19 local artists and more than 28 art installations, making it the largest art program in Kansas City’s history. The first installation went in last week.

“It is going to be a showcase for Kansas City, for our visitors and travelers alike, Liska said.

Liska said all travelers will have access to the concessions, no matter which airline they fly. Approximately 80 percent of the vendors assembled by Vantage Airport Group, the master concessionaire, will be local and will reflect a Kansas City flavor.

Fullerton said that in the next four months, Vantage will be hiring more than 1,500 employees to work at the airport concessions, a significant increase over the 300 to 400 employees who work there currently.

In response to a question about plans for transportation options between downtown and the airport, Fullerton said to keep an eye on electric vehicle flights, known as eVTOL (electric vertical takeoff and landing) or air taxis.

“I have no doubt in my mind, just my little crystal ball, that by 2026, and the World Cup, we’ll be doing air taxis,” he said.

Although the exact date of the opening of the new airport facility has not been announced, it is scheduled to open on time next March and on budget. 

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Feature image credit: Build KCI