A combined $5.5 million in funding from the Kentucky Product Development Initiative will go toward two projects in Northern Kentucky.
The initiative supports upgrades to industrial sites and buildings throughout the state to improve infrastructure and accelerate economic development.
On Tuesday, Gov. Andy Beshear visited the Cincinnati/Northern Kentucky International Airport to highlight the investment and the impact the projects will have on the region.
The airport is receiving over $3.6 million to construct new air cargo facilities on its campus. The North Cargo Village project will add more cargo forwarding and sorting facilities, allowing the airport to expand its shipping operations.
CVG is the sixth-largest cargo airport in North America and currently has more than 570 acres available for cargo and logistics development, according to CVG's website.
The airport already houses air cargo hubs for Amazon and DHL, but CEO Candace McGraw says the state's investment will allow CVG to make major strides in another side of the business: general air cargo freight or large shipments of goods that aren't as time-sensitive.
"It's only right now, about 5% of our business," McGraw said. "We need a place to accommodate that business."
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Beshear says expanding CVG's ability to handle more shipments is critical to the economic health of the entire Commonwealth and believes this investment will pair well with other large infrastructure projects happening in the area.
"Just think about these international planes coming down, unloading cargo, and some of that cargo going over the Brent Spence Companion Bridge that we are building without tolls right up here in Northern Kentucky connecting to Cincinnati. This is what true investment all across our infrastructure can do," Beshear said.
The air cargo facilities project will be built on the north side of CVG's campus where an unused rental car parking lot currently sits, allowing the airport to build something new without expanding beyond its current space.
Beshear also announced a nearly $2 million grant for the development of land at the Southern Campbell County Industrial Park. The project plans to convert 40 acres in Claryville into an industrial hub.
