Logistics Park KC lands a 927,000-square-foot whopper

The Kansas City area’s largest industrial building ever completed on a speculative basis, meaning before tenants are signed, has a tenant.

The Kansas Department of Commerce announced Friday that Spectrum Brands’ Hardware and Home Improvement will occupy the building, a 927,112-square-foot distribution center at Logistics Park Kansas City in Edgerton.

The move is part of the company’s plan to consolidate and centralize its operations from two existing distribution facilities in Charlotte, N.C., and Mira Loma, Calif.

Construction of the building Spectrum Brands HHI will occupy, called Inland Port XXXIII, began in March.

“Spectrum Brands HHI initiated a study of our existing distribution and fulfillment network in December with the intent of identifying the best option for the business to increase distribution capabilities and service levels, provide room for expansion, reduce overall inventory levels and improve cost management,” Phil Szuba, senior vice president and general manager of Spectrum Brands Hardware and Home Improvement, said in a release. “After completing our analysis, we determined that centralizing distribution operations in Edgerton will enable Spectrum Brands HHI to more efficiently serve our customers with lower inventory levels while establishing a platform for future growth.”

Atlanta-based Spectrum Brands HHI, which owns a number of brands including Stanley, Kwikset and Pfister, will begin transitioning operations from California and North Carolina immediately. The company plans to start receiving inventory in Edgerton in March and will start shipping from the new LPKC distribution center in April. When complete, Spectrum Brands will have approximately 315 jobs in Kansas.

The Commerce Department, which is the state agency that grants incentives for new job-producing employers, did not immediately respond to requests for information about any incentive package offered to the company, which is owned by Wisconsin-based Spectrum Brands Holdings Inc. (NYSE: SPB).

“It is fitting that such a time-honored and reliable company like Spectrum Brands will be located at Logistics Park Kansas City,” Commerce Secretary Antonio Soave said in the release. “LPKC has become a haven for excellence in business, and we look forward to continuing this tradition of excellence with Spectrum Brands at its new distribution facility in Edgerton.”

Developed by NorthPoint Development, LPKC is a 1,700-acre park surrounding BNSF Railway’s newest intermodal facility, which opened along a stretch of the railroad’s transcontinental line through Edgerton in late 2013.

Patrick Robinson, a NorthPoint vice president who has been guiding LPKC’s rapid growth, said that including Inland Port XXXIII, NorthPoint has commenced or completed 12 buildings totaling 7.8 million square in the park. It has capacity for 17 million square feet of structures.

“With the new announcement, 6,554,656 square feet is occupied,” Robinson said.

read the full article >>