KANSAS CITY, Mo.— Gov. Jay Nixon today announced that major retailor CVS Pharmacy will build a new 762,000 sq. ft. distribution center in Kansas City, Mo, at the Skyport Industrial Park. The company’s expansion is expected to create more than 360 new jobs in the region.
“Missouri recently reached record employment, with more folks back at work in our state than ever before,” Gov. Nixon said. “Today’s announcement by CVS Pharmacy to create 360 new jobs in Kansas City will continue this momentum, and is great news for area families. Once again, Missouri has shown the nation that we are open for business with a strong and growing economy.”
With access to key road systems in the region, the planned distribution center will support the service and fulfillment needs of more than 370 CVS Pharmacy stores throughout the Midwest. CVS Pharmacy expects to break ground on the 71-acre property in January 2017 and immediately start construction on the facility. The new distribution center is expected to begin operations in 2018.
“This new distribution center is an integral part of CVS Pharmacy’s continued growth as a leading pharmacy, health and beauty destination,” said Kevin Hourican, Executive Vice President, Pharmacy Services & Supply Chain, CVS Health. “The key combination of a high-quality workforce and a centralized location will allow us to better serve the growing needs of our customers throughout the Midwest and beyond. As a result of our new Midwest distribution center, our delivery drivers will drive hundreds of thousands fewer miles each year to deliver product to our stores, significantly reducing carbon emissions and improving highway safety.”
The new distribution center is expected to add more than 360 new jobs to the Kansas City area, as well as an additional 70 to 100 jobs that will be outsourced to local businesses. It adds to CVS Pharmacy’s network of 18 distribution centers nationwide.
“CVS’ decision to locate this regional distribution center in Kansas City affirms the transportation infrastructure advantages of this region and the competitive costs for distributing to the greater Midwest from here,” said Chris Gutierrez, President, KC SmartPort, the authority on logistics and opportunities in the 18-county, bi-state Kansas City region.
“On behalf of CVS Pharmacy, we are thrilled to grow our presence in the Kansas City business community. This new location will help us enhance support for our expanding distribution needs in the Midwestern market,” said Ron Link, Senior Vice President of Logistics at CVS Pharmacy. “We want to thank state and local officials for their cooperation and support during our site selection process.”
“Kansas City is experiencing a large industrial boom and continues to be center of choice for regional and national distribution due to our region's abundant multi-modal transportation network,” said Kansas City Area Development Council President and CEO Tim Cowden. “We are pleased that CVS Pharmacy chose the KC region and look forward to its future success.”
Missouri is helping the company recruit candidates for the new positions which are expected to be hired starting in early 2018. Additionally, Kansas City approved the company for local personal property tax abatement. The Missouri Partnership also assisted with the company’s expansion to the state.