The Kansas City region had another incredible, record-setting year for industrial real estate deals. Nationally, industrial real estate led the market for investments, leases and development. Here in KC, we saw growth in 2017 in distribution / fulfillment facilities from 100,000 – 1.2 million sq. ft. from eCommerce companies like Amazon and Hy-Vee Aisles to companies like Spectrum Brands and Horizon Global and major retailers like Dollar Tree. KC ended the year with the announcement of Excelligence Learning Corporation, which will consolidate five facilities into one KC area facility. 2017 also brought continued growth in manufacturing facilities selecting the KC region such as American Concrete Products and Nucor as well as additional automotive suppliers.
Looking into 2018, we see a repeat of 2017 with possibly more manufacturing deals for the first time in several years. Automotive, metals, plastics and food product related manufacturers are evaluating the KC market, many with a global base of operations. The local real estate development market will continue to build spec industrial buildings of all sizes. 2017 was record setting and 2018 looks to be the same.