Amtrak awarded federal grants for Midwest maintenance facility

The Federal Railroad Administration has awarded Amtrak two grants to support the development of a new Midwest Maintenance Facility and to make critical bridge and viaduct repairs.

The grants, worth up to $572 million and up to $87 million, respectively, will be used to address long-standing rail infrastructure needs in Chicago. More than half of the Amtrak long-distance trains begin or end their trips in Chicago, and 17 routes rely on maintenance capacity in the city. The current Chicago facilities don't provide the space, configuration or capabilities needed for current fleets or anticipated future growth, Amtrak officials said in a press release.

Canal Edge LLC will lead construction of the new maintenance facility, which will be built at an existing railyard owned by Union Pacific Railroad. Development will take about 18 months to complete and is expected to begin this fall, Amtrak officials said. The funded bridge and viaduct improvements will take place between Cermak and Pershing Roads in Chicago. The improvements will improve safety and system performance, and will address structural deficiencies and eliminate hazards for operators, drivers and pedestrians.

The federal grants are supplemented by private capital and financing led by Canal Edge. Justin Ishbia, controlling shareholder of Canal Edge, is providing more than $125 million in personal capital for the project, which is estimated to cost $900 million, Amtrak officials said.