The Unified Government Board of Commissioners of Wyandotte County and Kansas City, Kansas, has approved a development agreement with NorthPoint Development to create the Central Industrial Park on the site of a former General Motors plant.
The conversion of the 80-acre auto assembly plant site in the Faixfax Industrial District will require a capital investment of $40 million, and the project will create 2,000 new jobs.
The property is currently owned by the RACER (Revitalizing Auto Communities Environmental Response) Trust, which was set up expressly after the GM bankruptcy to get 89 former GM sites in 14 states cleaned up and sold for redevelopment in a way that would benefit the communities the sites were in.
RACER had recently finalized a purchase agreement for the Fairfax site with NorthPoint, subject to Northpoint getting approval for development by the board of commissioners.
RACER Trustee Elliott P. Laws said that the plan for an industrial park was a strong commitment to the community by Northpoint
“I congratulate NorthPoint, the Unified Government and the people of the Kansas City metropolitan area who ultimately will benefit from the jobs and other economic opportunities created by this investment,” added Laws.
Kansas City Mayor/CEO Joe Reardon said the huge number of jobs created by the RACER project, which is close to GM’s current plant in the city, is a testament to “what can be achieved through private and public partnerships that help grow our local economy.”
The proximity to GM’s current plant makes the industrial park ideal for GM’s automotive suppliers.
The complete development will take between six years to a decade, and the park will support at least three and at most eight manufacturing facilities. The projected 2,000 jobs at full capacity stand true regardless of how many tenants take up space.
Northpoint COO Chad Meyer said they were thrilled to be part of a project where a brownfield site was being redeveloped into an industrial park. Meyer said Northpoint will get started with the construction on the site later this year, and expects the first tenants to move in and begin operations next year in the fall.
They will be eligible for local tax incentives including industrial revenue bonds only after making the necessary infrastructure improvement investments for roads, water supply and utility lines to service the industrial park, in addition to reaching a threshold on above-ground construction.