The Missouri Department of Economic Development (DED) announced that FoodServiceWarehouse.com (FSW), a leading e-commerce company focused on high-quality restaurant equipment and supplies, has selected Kansas City as the location for its new distribution center. The company’s expansion project includes a $1.75 million capital investment and is expected to create up to 40 new jobs.
“Companies that have embraced technology are truly the ones that will move our economy forward and what we work hard to attract,” says Mike Downing, director of the Department of Economic Development. “Missouri’s strong transportation infrastructure, highly-skilled workforce, and pro-business climate make for the perfect platform for companies to engage in e-commerce and distribute their goods to clients quickly and efficiently.”
Headquartered in Greenwood, Co., FSW sells and distributes a variety of food service supplies and equipment to restaurant, fast-food, and bar owners nationwide. The company’s new central location at Kansas City’s Hunt Midwest SubTropolis will allow the company to more quickly and efficiently transport supplies and equipment to clients in every corner of the country as well as improve its management of inventory. FSW’s new Missouri center will be its first expansion outside of Colorado.
“An internal audit revealed Kansas City as the most economical and efficient location for our fulfillment and distribution center,” said Madhu Natarajan, CEO of FSW. “When we toured SubTropolis, we immediately saw the opportunity it held for our company. The logistics alone are impressive, but the potential to grow our footprint within the underground and the access to high-speed connectivity helped us make our final decision to move here.”
The company signed a 10-year lease to occupy 475,200 square feet of warehousing and distribution space in SubTropolis, the world’s largest underground business complex. The lease also includes options for FSW to grow to 792,000 square feet over the next four years. In addition to FSW’s $1.75 million capital investment, Hunt Midwest will invest $9.25 million to retrofit and customize the space.
“This announcement is a testament to the strength of Kansas City’s economy and to the manner in which we’re targeting high-growth industries,” said Mayor Sly James. “FSW is in great hands at SubTropolis and I’m thrilled to welcome them to our community.”
To assist FSW with its expansion, the Department of Economic Development has offered a strategic incentive package that the company can receive if it meets strict job creation and investment criteria. The Missouri Partnership, the City of Kansas City, the Kansas City Area Development Council, the KC SmartPort, the Clay County Economic Development Alliance and KCP&L also partnered with FSW to help make its expansion possible.