Kansas City: The Crossroads of Connectivity 10-14

Kansas City: The Crossroads of Connectivity
Edgerton, KS • logisticsparkkc.com • 816.888.7872
10-14
The Kansas City Transportation Advantage
Kansas City is...
#1 RAIL by tonnage in U.S.
#3 TRUCK center in U.S.
Kansas City has long been a hub for transportation. Its growing economy, geographic location,
business-friendly environment, low tax rate and developed and evolving infrastructure contribute
to this well-deserved reputation. It all culminates with Kansas City being an attractive location for
transportation and logistics operations.
• The largest rail center in the United States by tonnage
• More Foreign Trade Zone (FTZ) space than any other U.S. city (more than 10,000 acres)
• Located at the crossroads of four of the nation’s major interstate highways (I-35, I-70, I-29 and I-49)
• The heart of a rail corridor spanning coast to coast across the United States and extending from
Canada to Mexico (NAFTA Railway)
• The Kansas City International Airport, which moves more air cargo each year than any air center in
a six-state region
• Located on the nation’s largest navigable inland waterway (Missouri / Mississippi River system)
1 • Logistics Park Kansas City
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At the Intersection of Opportunity
Whether by highway, water, rail or air, Kansas City offers excellent transportation advantages. Because of
its central location and outstanding multimodal infrastructure, it is easier and more cost-efficient to ship into
and out of Kansas City, making Logistics Park Kansas City (LPKC) an ideal location for production facilities,
warehouses and distribution centers. When you are located in the nation’s heartland, you have an immediate
cost advantage when shipping raw materials and finished goods.
Proximity to Major Markets
S
ILE
0M
0
12
90
ES
IL
M
50
0
75
0
Seattle
80
San
Francisco
S
ILE
M
Boston
35
Denver
70
KANSAS
15
35
New York
Chicago
29
Kansas
City
44
40
40
San Diego
25
Dallas
49
45
75
Houston
35
2 • Logistics Park Kansas City
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Multimodal Transportation = Flexibility
Kansas City is a prime player in the emerging international trade corridor. Its access to the West Coast and East
Coast via connectivity to the U.S. intermodal network provides for the efficient flow of goods. Kansas City’s
strategic location at the crossroads of highway and rail traffic enhances its position in the global marketplace.
Air
Kansas City is one of the lowest-cost air travel markets in the country. It is served by 10 major commercial
airlines and their connection partners, with approximately 200 daily departures and nonstop service to more
than 50 destinations.
Highway
No other city in the United States has more freeway-lane miles per capita than Kansas City. It is one of eight
cities in the United States in which four interstates intersect. Kansas City’s highway infrastructure includes:
• Four interstates (I-35, I-70, I-29 and I-49)
• Four interstate linkages (I-435, I-635, I-470 and I-670)
• Nine U.S. highways
Rail
Kansas City ranks first in U.S. freight volume by tonnage and is generally regarded as the second largest
rail center. Five Class I rail carriers, three regional lines and a local switching carrier (Kansas City Terminal)
serve the area.
From Kansas City, you can reach 80 percent of the United States in less than
two days; 100 percent within three days.
3 • Logistics Park Kansas City
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Internet Fulfillment
Kansas City is well-positioned for internet fulfillment (package and parcel) due to its proximity to the
nation’s leading less-than-truckload (LTL) and parcel shippers’ terminals.
ESTIMATED FREIGHT DELIVERY TIMES
3
4
3
2
1
LPKC
2
3
Zone 1 – Overnight (12 hours)
Zone 2 – Next Day (16 hours)
Zone 3 – 2nd Morning (24 hours)
Zone 4 – 2nd Day (30 hours)
Major Delivery Zone Cities
Zone 1
Chicago
Memphis
Kansas City
Omaha
Denver
Zone 2
New Orleans
Atlanta
New York
Salt Lake City
4 • Logistics Park Kansas City
Des Moines
Minneapolis /
St. Paul
Dallas / Ft. Worth
Indianapolis
Houston
Cincinnati
Washington D.C.
Baltimore
Zone 3
Miami
Boston
Phoenix
Zone 4
Los Angeles
Seattle
Portland
Billings, MT
Montreal, PQ
Toronto, ON
San Francisco
Vancouver, BC
logisticsparkkc.com
Labor Supply
The state of Kansas and the Kansas City region offer a highly motivated and well-educated workforce with a
strong work ethic. The community and region surrounding LPKC offer an ample workforce supply projected
for both the long-term and short-term.
Skilled Workforce
The education system in Kansas contributes to its successful industry. Both the public high school
graduation rate and the percentage of the population with a bachelor’s degree are above the national
average. The progressive business climate, coupled with a top-notch educational system, has resulted
in an adept, well-skilled workforce.
The U.S. Census Bureau states that the workforce in the Kansas City region
contributes 40 percent more value per hour than the national average.
Supply Chain Trained
Kansas City is committed to a supply chain education initiative that brings those involved in the transportation
and logistics industry together with area educational institutions to identify training needs. Through high
schools, universities and colleges in the region, there are several programs that offer training to educate the
workforce with the necessary skills for current and upcoming jobs in the transportation and logistics industry.
Supply Chain Support Companies
From air cargo to warehousing, the Kansas City area is home to many different types of companies that
directly or indirectly support international trade efforts. Because of its position as a top-tier logistics hub in
the United States, Kansas City has an array of businesses linked to the supply chain, including companies
that provide loading and handling, packaging, trucking and management of the shipping process.
5 • Logistics Park Kansas City
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In Kansas City, the transportation industry currently employs about 53,000
workers or 4.1 percent of the region’s total workforce.
State and Local Government Support
With a population of just over 2.9 million, Kansas has a proactive legislative and regulatory environment and
offers major advantages in costs, taxes, skilled workforce and major transportation assets. The state has
built a diverse industry base that includes bioscience, animal health, energy technology, aviation, advanced
manufacturing and agriculture. Companies benefit from the state’s central location and access to major
transportation corridors and recruit from some of the nation’s best universities and technical schools.
6 • Logistics Park Kansas City
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Kansas is Pro-Business
• As a right-to-work state, compulsory union membership is prohibited
• Being e-Commerce sales tax safe is attractive for internet fulfillment centers, and unique in the Midwest
and to other BNSF Logistics Parks
• All merchants’ and manufacturers’ inventories are exempt from property taxes
• Workers compensation premium rates are low — 7th lowest in the nation, which can significantly
reduce costs for employers
• Commercial and industrial machinery and equipment is exempt from state and local property tax
• Income tax exemption on certain non-wage income for SubChapter S Corp, LLCs, LLPs,
Sole Proprietorships and Partnerships
7 • Logistics Park Kansas City
logisticsparkkc.com
You will be in good company. Join other intelligent companies who have wisely chosen the
Kansas City region as a distribution center location, including:
• American Eagle Outfitters
• Hill’s Pet Nutrition, Inc.
• Pure Fishing
• Case New Holland
• Home Depot
• Sony Electronics
• Coca-Cola Bottling
• Honeywell Aerospace
Electronics System
• Target
• Coleman Company
• Toys ‘R Us
• Del Monte
• J.C. Penney Catalog
Logistic Center
• Tyson Foods, Inc.
• Federal Express
• Kohl’s
• U.S. Toy
• Ford Motor Company
• Musician’s Friend
• Wainwright Industries
• Garmin International
• O’Reilly Automotive
• Walmart Stores, Inc.
• Goodyear Tire & Rubber Co.
• Pacific Sunwear
• Zumiez
• Grainger
• Pepsi-Cola
• Hallmark Cards, Inc.
• Prescription Solutions
“Kansas City was the optimal location to get products shipped anywhere
in the United States in three days or less. No other city could offer that
kind of guarantee without expedited shipping costs.”
Jeff Kisling
Vice President, Logistics & Services
Pure Fishing
8 • Logistics Park Kansas City
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Kansas City by the Numbers: Ratings & Rankings for 2014
Kansas Named No. 17 Most-Innovative State
Using data collected by the Kauffman Foundation, Kansas is the No. 17 most-innovative state. The list was
compiled by Bloomberg News, using statistics based on each state’s concentration of STEM workers, R&D
spending, percentage of public companies and patent approvals. The Kauffman Foundation, January 2014.
Kansas City is One of the 100 Smartest Cities in America
In a study by VentureBeat, Kansas City is listed as one of America’s 100 Smartest Cities. The study used data
from more than three million people that have played Lumosity brain-training games. VentureBeat, April 2014.
KC Ranks in Most Affordable Areas to Buy a Home
A study by NerdWallet ranked Kansas City as No. 7 on the list of America’s Most Affordable Metros for
Homeownership. Areas were analyzed through a home-price-to-income formula. NerdWallet, April 2014.
KC Ranks No. 5 on Cities Creating the Most High-Paying Jobs
In a recent Forbes article, Kansas City was ranked No. 5 on the list of cities creating the most high-paying
jobs. Kansas City beat out cities including San Jose, Denver and San Francisco. Forbes, November 2013.
9 • Logistics Park Kansas City
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Low Cost of Living
The Kansas City region’s cost-of-living
measures below the United States
average, as reported by the ACCRA
cost-of-living index.
Indianapolis
92.0
Atlanta
95.3
Dallas
95.9
Kansas City
99.2
United States
100
Denver
104.2
Minneapolis /
St. Paul
110.1
Chicago
115.3
Los Angeles
130.4
Boston
139.7
0
25
50
75
100
125
150
Source: The Council for Community and Economic Research (C2ER)
Affordable Housing
Kansas City consistently rates as one
of the most affordable housing
markets among metropolitan areas
with populations exceeding one million.
2013 Median Sales Price, Existing Single-Family Homes
Location
Median Sales Price
Kansas City Metro
$154,200
United States
$196,900
Source: National Association of Realtors
10 • Logistics Park Kansas City
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