The City of Kansas City, Mo., Aviation Department announced that lease agreements are now approved to allow UPS to expand and modernize its express package sorting capacity at Kansas City International Airport.
Through City Council approval, the Aviation Department extended the lease with Aeroterm another 30 years, which provides its tenant UPS the opportunity to significantly expand its operation at the airport. UPS also anticipates hiring about 60 new employees to help sort packages once the project is complete.
The expansion includes a 534,000-square-foot aircraft apron with enough space to simultaneously park five wide-body cargo jets and a complete renovation of the existing 50,000-square-foot sorting facility. New state-of-the-art sorting equipment will increase package handling capacity from 1,500 to 5,000 packages per hour.
Demand for shipping, primarily due to e-commerce, is continuing to grow. We need the additional capacity to continue providing outstanding service to customers in northwest Missouri and northeast Kansas,” UPS Central Plains District President Darren Jones said.
“Expedited transportation in the Kansas City region dates back to the Pony Express days in the 1800s,” said Kansas City Director of Aviation Pat Klein. “Our central U.S. location continues to be key for air freight operations. We have long been a partner of UPS and are thrilled with their upcoming expansion.”
UPS launched air operations from Kansas City International in 1986, and now operates six flights per day. UPS leases the facility from Aeroterm, and the parties have also agreed to an extension of the lease to facilitate the expansion.
"We are proud to partner with UPS to help facilitate this exciting and high-profile cargo infrastructure project which enhances the airport's air cargo sector with improved cargo processing efficiency," said Aeroterm Vice President of Investments & Development Greg Russell. "We look forward to our continued partnership with UPS and the Kansas City Aviation Department to support the growing cargo demands at Kansas City International Airport.”
Construction is set to begin later this year with completion in late 2021.
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The Kansas City Airport System is an Enterprise Fund Department of the City of Kansas City, Mo., and is supported wholly by airport user charges. No general fund tax revenues are used for the administration, promotion, operation, or maintenance of the airports in the system. Visit flykci.com for more information. Find us on Twitter, Facebook, Instagram and LinkedIn.
UPS (NYSE: UPS) is a global leader in logistics, offering a broad range of solutions including transporting packages and freight; facilitating international trade, and deploying advanced technology to more efficiently manage the world of business. Headquartered in Atlanta, UPS serves more than 220 countries and territories worldwide. Visit ups.com, pressroom.ups.com and the corporate blog at ups.com/longitudes. Follow @UPS_News on Twitter.
Aeroterm, a Realterm investment platform, is a vertically integrated owner/operator with expertise in the management, acquisition, construction, development, and financing of air cargo and aviation-support facilities. Aeroterm's multi-disciplined infrastructure includes in-house leasing, property management, investment, construction and development, design, and financing. Aeroterm is the largest owner of on-airport industrial real estate in North America with a 110-property, 17 million sf portfolio across 36 airports, including six of the top 10 North American airports by cargo volume. Visit Realterm.com for more information.