A $1.29 billion contract has been awarded for the section of the Hudson Tunnel Project that will construct new rail tunnels beneath the Hudson River between New Jersey and Manhattan.

The contract covers Package 1C of the Gateway Program’s Hudson Tunnel Project, a segment that includes excavation of twin tunnel tubes between Weehawken, New Jersey, and Manhattan’s West Side. Officials said construction activity tied to the package is expected to begin in the coming months.

 

The Gateway Development Commission awarded the work to the Traylor/Walsh/Skanska joint venture. The project marks another step in efforts to expand rail capacity along the Northeast Corridor, one of the busiest passenger rail routes in the United States.

Hudson Tunnel Project progress

According to project officials, six of the ten construction packages associated with the Hudson Tunnel Project are now either completed or actively underway. Earlier phases already under construction include the Palisades Tunnel section in New Jersey and the Manhattan Tunnel portion in New York.

 

The newly awarded package focuses on the section running beneath the Hudson River itself. Plans call for construction of two separate tunnel tubes, each stretching roughly 7,250 feet between access shafts located in New Jersey and Manhattan.

 

Crews will use two tunnel boring machines designed for mixed underground conditions beneath the river, including rock formations, soft ground, and previously stabilized areas encountered during excavation.

 

In addition to tunnel excavation, the contract also includes construction of cross passages connecting the tunnel tubes, stabilization work near sections of the Hudson-Bergen Light Rail system, and underground structural support work near the Willow Avenue Bridge corridor in Hudson County.

Contractor selection

The Gateway Development Commission selected the contractor through a competitive procurement process that involved representatives from multiple transportation agencies and government entities, including Amtrak, NJ TRANSIT, and the Port Authority of New York and New Jersey

 

Project officials also approved the package’s market cost estimate and authorized a notice to proceed, formally allowing construction activities tied to the contract to move ahead.

 

The Hudson Tunnel Project forms part of the larger Gateway Program, which aims to add new passenger rail capacity between New Jersey and New York while also allowing rehabilitation of the existing century-old North River Tunnel.

Additionally, New York City is also advancing other major rail infrastructure work on a parallel track, including the Second Avenue Subway Phase 2 on Manhattan’s East Side. While the projects are unrelated and serve different transit systems, they reflect ongoing underground construction activity across both sides of the city aimed at expanding rail capacity and addressing long-term congestion in key corridors.

Hudson Tunnel Project – Package 1C Factsheet

Project: Hudson Tunnel Project – Package 1C: Hudson River Tunnel Section

Program: Gateway Program

Contract Value: $1.29 billion

Contractor: Traylor/Walsh/Skanska Joint Venture

Scope of Work

• Construction of two new rail tunnel tubes beneath the Hudson River
• Installation of tunnel liners and tunnel floors
• Excavation using two tunnel boring machines (TBMs)
• Construction of nine cross passages between tunnel tubes
• Ground stabilization work near Hudson-Bergen Light Rail infrastructure
• Underground structural support work near the Willow Avenue Bridge corridor

Tunnel Length

Approximately 7,250 feet per tunnel tube

Tunnel Route

Between:

• Hudson County Access Shaft in Weehawken, New Jersey
• 12th Avenue Access Shaft in Manhattan, New York

Current Status

Contract awarded; construction expected to begin in the coming months

Procurement Process

The contractor was selected through a competitive procurement and technical evaluation process involving:

• Gateway Development Commission
• State of New York
• NJ TRANSIT
• Port Authority of New York and New Jersey
• Amtrak

Project Significance

Package 1C covers the section of the Hudson Tunnel Project that runs beneath the Hudson River. And represents the longest stretch of tunnel boring within the project.

Broader Project Update

• Six of the Hudson Tunnel Project’s ten construction packages are now complete or underway.
• GDC has awarded or is advancing contracts covering all major tunnel boring work for the new tunnel system.

Purpose of the Hudson Tunnel Project

The project is designed to expand passenger rail capacity between New Jersey and New York. And support future rehabilitation of the existing North River Tunnel.