Andrew Peykoff Sr., founder/chairman, and his son, Andy Peykoff II, president/CEO, have selected KC for their new manufacturing facility location.
Overstock.com has leased 517,000 square feet for a new distribution center at 5300 Kansas Ave. in Kansas City, Kan.
Luke Burbank and Kyle Roberts with Newmark Grubb Acres in Salt Lake City led the national site search for Overstock.com. Mark Long and John Hassler with Newmark Grubb Zimmer teamed with Newmark Grubb Acres to provide assistance with lease negotiations in the Kansas City region. The building is owned by BH Properties based in Los Angeles, California.
“Selecting Kansas City as the home of Overstock’s newest fulfillment center allows us to offer over 99 percent of our US customers two-day shipping options, improving shopping experiences by getting orders into the customer’s hands as soon as possible,” said Carroll Morale, Overstock.com vice president of supply chain. “We’re extremely thankful for all of the support and collaboration we’ve received from state and local officials and the Kansas City Area Development Council during this expansion process.”
Check out the official news release from KC SmartPort!
Chris Gutierrez, president of KC SmartPort, led economic development incentive efforts with regional partners including the State of Kansas Department of Commerce and the Wyandotte Economic Development Council. Overstock.com will begin to move in immediately and will employ up to 200 people.
“Kansas offers a great central location and the best workers in the country for any company looking to relocate here. We are thrilled that a successful company such as Overstock has selected Kansas City for its latest distribution center,” said Kansas Gov. Jeff Colyer, M.D. “Opening for business in Kansas will provide Overstock.com with an excellent strategic location and creates hundreds of well-paying job opportunities for Kansans.”
Kansas City, Missouri voters overwhelmingly approved public financing for a new $1 billion single-terminal design for KCI. Local development leaders mounted a warrior-like effort to build the case for a new airport over the past month, educating voters about funding and regional business benefits.
Here’s what some of the region’s leading brokers and developers are saying about the vote:
"The new airport should be a big benefit to Kansas City in terms of business development in tourism. Right now connecting airlines are simply avoiding Kansas City, but in the future Kansas City will see increased connections and increased air traffic, and this will be great for new businesses that want to locate in our community." Ken Block, Managing Principal, Block Real Estate Services LLC
“The new KCI terminal is a very important step to for our metropolitan area to continue to compete and bring new business to the region.” –Mike Klamm, Managing Director, CBRE
“A new airport will put us in a position to achieve better connections to other major cities. That’s a must if we expect to attract and sustain Fortune 1000 companies.” –Owen Buckley, President, LANE4 Property Group, Inc.
"KCI airport is Kansas City’s 'front door' for both new companies considering a relocation or expansion of their operations. The convenience of direct flights to more destinations will result in more companies locating their central or regional distribution facilities in Kansas City.” -Ora Reynolds, President and CEO, Hunt Midwest
“The city government, civic and business communities put the time in to explain the importance of the vote, and the public responded.” -Jon Copaken, Principal, Copaken Brooks
“I am impressed by the effort of our Kansas City civic leaders. (This is similar to) bi-state or streetcar or other major big momentum changers, but this one is more important. Very big day for KC.” -Mark Long, Executive Managing Director/Principal, Newmark Grubb Zimmer
“This is a great day for the entire Kansas City metro area. The promise of a new KCI will have an immediate effect on our entire community, as we continue our steady ascent up the nationwide ladder of ‘best places to live and work’. Way to go KCMO voters!” -Nathan Anderson, NAI Heartland
“The new single terminal promises to usher in a wide array of new opportunities for the entire region. I’m excited for what that means for our city’s ability to grow and attract new businesses to the area.” –Russell Pearson, NAI Heartland
A panel of leading Kansas City commercial real estate developers, builders and municipal leaders shared insight into the region's booming industrial market at MetroWireMedia's 2017 Industrial Summit on Friday, Aug. 25 at Blue Hills Country Club.
Here's a snapshot of industry insight from our panelists:
“We are seeing about 60 percent of users come from outside the Kansas City area, and we are on pace to deliver over 10 million square feet this year." -Kevin Wilkerson, JLL
“The supply side of industrial development has been somewhat disciplined. Demand has not outpaced supply at all, so we expect it will continue in a healthy fashion.” -Mark Long, Newmark Grubb Zimmer
“Kansas City companies can reach 90 percent of the U.S. in two days' shipping, so a company that years ago believed they needed to be near population densities on the east or west coast can reach 90 percent of their customers right here.” -Mike Bell, Hunt Midwest
“We are seeing more 'small boxes' that are appealing to tenants who want to be in their own space and not have to share a building, or they are a 60,000 to 80,000 square foot tenant and it appeals to them to have a right of first refusal and be in their own space and growing.” -Sam Stahnke, ARCO Construction
“From a long-term perspective, Kansas City has now reached a new level within the country as a major destination for e-commerce distribution, and that’s not going to change. The growth is going to continue for some time.” -Whitney Kerr, Jr., Cushman & Wakefield
“We are looking for opportunities where there is going to be a significant incentive to do business in Kansas City. We aren’t trying to create winners and losers amongst you all; we are trying to create winners for all of you within our Port District.” -Michael Collins, Port KC
“One of the challenges for local government, especially a government as small as Edgerton, is to be aware of what all levels of government are doing and how that might impact our ability to provide attractive incentives. Edgerton is certainly looking for opportunities to be creative and to have incentives that look different from other areas of the country.” -Beth Linn, Edgerton City Administrator
"MetroWireMedia has assembled a group of Kansas City commercial real estate leaders who are at the top of their game in what is without question the strongest industrial real estate market in recent Kansas City history. I look forward to leading the discussion as we hear about best practices for sustaining the momentum in the current red-hot market." -Chris Gutierrez, KC SmartPort
Want more insider scoop? Mark your calendars for MetroWireMedia's 2017 Multi-Family Summit on Oct. 12. Contact Lisa Shackelford for sponsorship information.
Check out our slideshow below, or head to our Facebook page and tag yourself in the event photos.
For the last few years, Kansas City has seen a red hot industrial market. Recently, local and regional experts took part in a thought-provoking discussion on the state of the market at the 2016 Industrial Summit, hosted by MetroWireMedia. The event was supported by generous sponsors: Grandbridge Real Estate Capital, ARCO Construction, Stewart Title, GBA Architects + Engineers, Citizens Bank & Trust, Centerpoint Properties, Candid Marketing + Communications, Newmark Grubb Zimmer, Cushman & Wakefield, Design Mechanical and KC SmartPort. Here’s a look back at a snapshot of that conversation.