The $403 million cost for the distribution center — which will become Urban Outfitters’ largest nationwide — breaks down into $14.5 million to acquire the land from Kansas Speedway, $112.5 million for facility construction and $276 million for machinery and equipment. With the industrial revenue bonds issued, Urban Outfitters would enjoy a 10-year, 100% property tax exemption and a sales tax exemption on construction materials. During that time, the development agreement calls for the company to make payments of lieu of taxes at 25% of what it otherwise would owe to affected jurisdictions.
Source: Kansas City Business Journal – The Business Journals
