Penn Station Master Developer Selected

New York Penn Station (Wikimedia Commons-Lesbardd)

NEW YORK –– Halmar and Skanska expected to start work by the end of 2027 to rebuild New York’s busiest station.

THE US Department of Transportation (USDOT) and Amtrak announced on May 20 the selection of Penn Transformation Partners, comprising Halmar and Skanska, as the master developer for the public-private partnership (PPP) project to rebuild Penn Station in New York City.

The project to deliver “a world-class experience for users” includes the construction of a new train hall with an entrance on Eighth Avenue, and replacing what are described as “cramped, decrepit walkways” with open concourses. Wayfinding will be improved and new retail facilities provided.

Track capacity at the station will be increased, with provision for limited through-running between the NJ Transit and MTA Long Island Rail Road commuter networks. The existing subterranean structure of the station will also be improved.

Penn Transformation Partners was shortlisted for the master developer contract alongside Grand Penn Partners and Penn Forward Now. Procurement was overseen by former MTA president, Andy Byford, appointed by the Trump administration as a special advisor to Amtrak for the project.

The three shortlisted bidders were assessed on their ability to develop the best-value proposal while leveraging taxpayer investment to develop potential new revenue streams for Amtrak. They also made proposals to increase concourse capacity and access, enable safer and more efficient operations and accommodate future growth in passenger traffic.

With the master developer appointed, the next stages of the project include finalising contract negotiations, design development, obtaining planning consent and completing the service optimisation study that is being led by the Federal Railroad Administration (FRA). The objective is to achieve financial and commercial close in time for work to start by the end of 2027.

Design and planning consent work will be supported by an additional $US 200m in federal funding for the project, provided by the FRA through the Partnership-Northeast Corridor Programme. Amtrak and NJ Transit are also contributing additional funding for project development work.

“Not only is the winning redesign for New York Penn Station beautiful, but the changes to the station will more importantly increase the capacity of what is already America’s busiest transit hub,” says deputy US transportation secretary, Steve Bradbury.