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Urban Outfitters to Build $350M Distribution Center Near Kansas City

Urban Outfitters New York City

Urban Outfitters operates over 200 stores in the U.S. including a location in New York City’s Financial District, pictured above. (Image courtesy of Wikimedia Commons)

KANSAS CITY, KAN. — Urban Outfitters (Nasdaq: URBN) has announced plans to develop a $350 million omni-channel distribution center near Kansas City. 

The 880,000-square-foot development will be located on ancillary land owned by the Kansas Speedway in Wyandotte County, roughly 15 miles outside downtown Kansas City. The Philadelphia-based retailer is set to begin construction on the facility this fall with completion scheduled for early 2022. 

Documents obtained by The Kansas City Star identify Hillwood Development Co. as the developer for the project. Fort Worth, Texas-based Hillwood is led by Ross Perot Jr., son of the late Ross Perot, a billionaire who ran for president twice in the 1990s.

Urban Outfitters selects the locations of its distribution centers based on a combination of factors, including location, available workforce and transportation infrastructure. Kansas City’s central location was cited as critical to the company’s distribution network.

“Our priorities in identifying the home for our new omni-channel distribution center focused on people, and it was the quality of the local workforce and the commitment of their representatives in the state that convinced us this is the right place to be,” says Dave Ziel, chief development officer of Urban Outfitters. “This facility will be at the heart of our distribution network, enabling us to support continued digital growth at all of our brands and reach our digital customers faster and more efficiently than ever before.”

The new e-commerce center is set to bring over 2,000 new jobs to the Kansas City area over the course of the next several years. “I’m excited to announce our new partnership with URBN and to welcome them to Kansas,” says Laura Kelly, governor of Kansas. “This is a transformational project for our state, bringing a new, high-profile corporate partner and good-paying jobs.”

Urban Outfitters is part of a greater portfolio of retail brands titled URBN, which includes Anthropologie, Free People, BHLDN, Terrain, Menus & Venues and Nuuly. URBN stock closed on Thursday, Aug. 6, at $19.15, down from $22 on the same date last year. 

Katie Sloan

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