3.7 MSF Industrial Project Moves Forward

Image by Lorenzo Cafaro via Pixabay.com

Block Real Estate Services has received municipal plan, rezoning and incentive approvals for its Tiffany Springs Logistics Park, a $365 million, 3.7 million-square-foot industrial project in Kansas City, Mo.

The campus will come online in three phases on approximately 281 acres; the site is located west of Interstate 29 in The Northland, northeast of Tiffany Springs Road and Amity Avenue. At full build-out, the property will comprise seven buildings ranging from 423,033 to 754,792 square feet.

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Pending approval by the Port Kansas City agency this fall, construction on the park’s 1.9 million-square-foot first phase could start in 2024, with completion estimated in 2029. Depending on market demand, the entire campus could be delivered by 2036. Finkle + Williams Architecture is the project architect, while McClure Engineering will serve as civil engineer.

Block did not reply to Commercial Property Executive’s request for information.

The company’s existing properties in the Kansas City metro include the 117-acre Lenexa Logistics Centre in Lenexa, Kan., the 80-acre K-7 Logistics Centre in Shawnee, Kan., and the 223-acre 175th Commerce Centre in Olathe, Kan., among others.

Plenty active

Tiffany Springs is one of several projects that are planned or underway in The Northland, driven in part by the recent opening of Kansas City International Airport’s new $1.5 billion terminal.

In March 2022, for example, tech powerhouse Meta started work on its first data center in Kansas City, an $800 million hyperscale facility within Diode Ventures’ 5.5 million-square-foot Golden Plains Technology Park. Completion is expected in 2024.

Other submarkets of the metro are active, too. In March of this year, ARCO National Construction and Block Real Estate Services completed a 200,000-square-foot distribution center at Lenexa Logistics Centre in Lenexa, Kan. The building is owned by MS International, a provider of flooring and hardscaping products.

Kansas City’s industrial demand has been steady enough to spur ongoing leasing and construction, especially in Johnson County, though investment sales have suffered because of increased interest rates, according to a first-quarter report from JLL.

Still, over the rest of the year, the metro will see more than 13 million square feet of demand versus more than 10 million square feet of deliveries, the report estimates. Meanwhile, overall vacancy was 3.9 percent at the end of March and trending downward.