DAN REEDY

Per a response to my previous blog about the Kansas City Investing Market, here is a list of major employers in the Kansas City area.

A great source of information regarding Kansas City is on wikipedia.com. Click here for a direct link.

The economy of Kansas City Metropolitan Area is anchored by Kansas City, Missouri, which is the largest city in Missouri and 40th largest city in the United States. The Kansas City Metropolitan Area is the 27th largest in the United States based on the United States Census Bureau's 2004 population estimates. The Kansas City area is a large, influential, and important economy in its region. Historically, Kansas City, Missouri has been the third largest beef capital in the United States (behind Chicago and Cincinnati) and home to the second largest rail network. The Kansas City Metropolitan Area houses many factories, manufacturing plants, an official international trade zone, and more foreign trade zone space than anywhere else in the nation. As of 2006, although the Kansas City Metropolitan Area is home to ten of the Fortune 1000 companies, Kansas City, Missouri, itself is home to only six:

• H&R Block (tax preparation and personal finance; the only Fortune 500 company in Kansas City)
• Interstate Bakeries Corporation (international wholesale baker and distributor)
• Great Plains Energy (public utilities)
• Aquila, Inc. (public utilities)
• AMC Entertainment (national movie theatre chain)
• DST Systems Inc. (software developer specializing in information processing and management)

Other major companies and employers

Kansas City is also home to a number of other very large, national and international companies, some of which are:

• American Century Investments (mutual fund manager and broker)
• Black & Veatch Corporation
• Burns & McDonnell Engineering
• Commerce Bancshares (large bank operating in Kansas, Missouri, and Illinois)
• Crayola (a division of Hallmark)
• Hallmark Cards (largest greeting card manufacturer in the world) (NOTE: although Hallmark's gross revenues would generally be more than sufficient for inclusion in the Fortune 500 and 1000, those lists only apply to public companies. Hallmark is privately held by the Hall family and is thus ineligible for the Fortune 500 or 1000.)
• HNTB (multinational infrastructure planning, engineering, and consulting firm).
• Interstate Bakeries (maker of Wonder Bread, Twinkies, and other assorted products)
• Kansas City Southern Industries (railway management)
• Kansas City Life Insurance (major national insurer)
• Russell Stover Candies
• Wish-Bone salad dressing

Other major regional and national non-corporate employers headquartered and/or located in Kansas City include:

• Shook, Hardy & Bacon (major national and international law firm)
• University of Missouri - Kansas City (full branch of the University of Missouri)

Sprint Nextel has its executive headquarters in Reston, Virginia and maintains an operational and engineering headquarters in Overland Park, Kansas (where the largest number of Sprint Nextel employees are based).

All information in this post is from wikipedia.com.

21^st Century Gold Rush:

Investors Find Treasure in Kansas City Real Estate Market

KANSAS CITY -- A new economic boom happening across the nation, but unlike the Gold Rush of 1849, when people flocked to California to find riches in gold, investors from California and other high-cost states are flocking to Kansas City find "gold" in residential investment properties.

Kansas City is one of the best-kept secrets in the nation. It was voted in 2007 as the third-best city for relocating families, and it boasts a vast array of entertainment, professional sports, Fortune 500 companies and shopping districts. Only Rome has more fountains than Kansas City, which also is the barbecue capital of the free world.

What is making out-of-state investors so excited about Kansas City? According to Dan and Nancy Reedy, owners of Missouri Real Estate Exchange, the mortgage meltdown and ever-increasing number of foreclosures makes Kansas City a gold-mine area to buy investment properties.

Kansas City has always been a highly stable real estate market, with appreciation averaging 3 percent to 5 percent annually in most areas. While large-market areas on the coasts currently are being battered with falling home values, Kansas City is still experiencing its normal trend of small appreciation. Combine that with low unemployment and lower-than-normal rental vacancy rates, and Kansas City is a natural place to invest.

The average price for a single-family rental property in a good neighborhood is in the $50,000 to $80,000 range, Dan said, with rents averaging between $700 and $1,000 per month. That combination makes for a low initial investment, with a positive cash flow that can't be found in most parts of the country.

Half of the people who want own a home no longer qualify because of the current status of the mortgage industry. These are good people with families who still want and deserve a nice place to live. That makes for higher demand in rental properties, with a higher quality of tenant than has been seen in the past. Missouri Real Estate Exchange has taken notice of this trend and offers a one-of-a-kind program for investors.

"We research different neighborhoods and determine which areas are most desirable in regard to affordability, value, tenant desirability, etc.," Dan said. "Once we have identified an area, we will seek out properties in distress due to foreclosure or other reasons.

"After the property is purchased, we have an independent inspection done to identify any potential problems regarding mechanical or structural issues, and then complete the rehab to code and tenant desirability. Once the rehab is complete, we place a carefully screened and qualified tenant in the property. After the unit is occupied we market the property to investors at 70 percent to 80 percent of appraised value.

"The unique part of our program is that we handle the whole investing process from conception to birth. This enables the investor to walk into a turnkey rental with $10,000 to $20,000 equity, $200 to $500 positive cash flow per month and a 20%-40% return on their investment.

Dan stresses that the core philosophy behind Missouri Real Estate Exchange is to build long-term relationships with investors and tenants and make the transaction a win-win for all parties.

The Reedys have had numerous news articles published about them, were featured recently on a local television station and have their own weekly radio show geared toward investors.

"Our goal is not to be the biggest company in town but to do good business and be around for a long time," Nancy said.

For more information, please visit http://www.morekc.com/ or call Dan or Nancy at 816-761-9400. To learn more about the Kansas City region, visit http://www.kcchamber.com/.

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