Union Pacific Railroad has announced a new partnership with Jaguar Transport Holding LLC to enhance rail services in Kansas City, Missouri’s Central Industrial District.
Under the agreement, Union Pacific (NYSE: UNP) will lease approximately 12 acres of land and 4 miles of track to multimodal logistics provider Jaguar Transport. This move allows Union Pacific to concentrate on efficient long-haul service while Jaguar will operate a new shortline railroad called the Kansas City West Bottoms Railroad.
The new railroad will serve a cluster of customers located off UP’s KC Metro Big Mary Subdivision between milepost 0.63 and milepost 1.60 in Kansas City, Trains reported. KCWB also will lease and operate the adjacent State Line Yard trackage.
Union Pacific earlier this year handed off local and yard operations in Eugene, Ore., to Genesee & Wyoming short line Central Oregon & Pacific.
“Jaguar has a proven track record of providing premier customer service and we believe this operating change will be a win for both railroads, our mutual customers and the local economy,” said Kenny Rocker, executive vice president of marketing and sales at Omaha, Nebraska-based Union Pacific, in a release.
The Kansas City West Bottoms Railroad will offer five-day-a-week short-haul services, providing local businesses with faster and easier access to Union Pacific’s extensive rail network. This operational shift is expected to create efficiencies and unique economic opportunities for the greater Kansas City area.
Tim Enayati, senior vice president of commercial development at Jaguar Transport Holding, said, “Our new business partnership with Union Pacific will create operational efficiencies and unique economic opportunities for the region.” Enayati added that the city and Missouri are “great partners and longtime supporters of the rail industry.”
Jaguar Transport’s involvement extends beyond just rail operations. The company owns a cold and dry storage warehouse adjacent to the leased property and is in the final stages of constructing a new transload facility on the site. This facility is expected to begin accepting railcars in the near future, further expanding the logistics capabilities in the area.
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