The Blueprint
- $16B Hudson Tunnel Project adds new rail tunnels under Hudson River.
- Five major construction sites active in New Jersey and New York.
- New tunnels and old tunnel rehab will improve passenger rail service.
- Completion set for 2035 with rehab wrapping by 2038.
The Hudson Tunnel Project construction is in full swing — with activity taking place in New Jersey, New York and the Hudson River itself.
NJBIZ saw the progress up close during a media tour hosted July 8 by the Gateway Development Commission. GDC oversees what has been described as the nation’s most critical infrastructure project.
The tour came on the one-year anniversary of a key project milestone.
Key things to know:
The project will result in nine miles of new passenger rail track between New Jersey and New York, including:
- A new, two-tube tunnel under the Hudson River.
- Rehabilitation of the existing 115-year-old tunnel, severely damaged by Superstorm Sandy and which causes frequent headaches for passengers.
The project is being divided into 10 distinct construction projects with work started on five of the $16 billion effort’s components.
- The Tonnelle Avenue Project: Building a new roadway bridge over the future tunnel’s tracks as well as creating an access point for the Tunnel Boring Machine. Work is slated to be complete by the end of this year.
- Palisades Tunnel Project: Constructing the first mile of new tunnel in New Jersey.
- Hudson Yards Concrete Casing – Section 3 Project: Building the last segment of the rail right-of-way that trains will pass through to get from the new tunnel to New York Penn Station.
- Manhattan Tunnel Project: Building the portion of the tunnel that connects to the Hudson Yards Concrete Casing; preparing the ground under the West Side for tunnel boring.
- Hudson River Ground Stabilization Project: In-water work to stabilize the riverbed and also protect the marine ecosystem in preparation for tunnel boring beneath the river. Includes mixing concrete into the soil in columns to create a 1,200-foot-long, 100-foot-wide lightweight concrete box at the bottom of the river. Also involves the use of a temporary cofferdam.
Tunnel boring machines that will dig New Jersey’s portion of the project will arrive in early 2026. GDC expects to award contracts to build each section of new tunnel by the end of 2026. The new tunnel is slated for completion in 2035; rehab of the existing tunnel expects to wrap by 2038.
‘Within scope, on time and budget’
“We’re here today — one-year anniversary from the Full-Funding Grant Agreement,” GDC Chief Executive Officer Tom Prendergast told reporters during a briefing at the Hudson Yards Concrete Casing – Section 3 Project site. “Weather is about the same, hot and sunny. You can see what’s been done in a year. You saw some of the construction sites over in New Jersey. There’s a total of five active construction sites — aggressively pursuing the procurement of two more.
“We’re committed to delivering this project within scope, on time and budget.”
Prendergast was asked about concerns regarding the project moving forward with the new federal administration.
“We reached out to the Trump administration. They’ve been very supportive of it,” said Prendergast. He noted that top transportation officials have been actively involved with the project. “They know the importance of the project. It’s really a program — $16 billion with 10 different projects. That’s a lot of work going on. They understand the importance of it. They’re committed to it. And our job is to make sure we deliver it, once again, on time, within budget — and scope.”
The CEO said that with a project like this, attention to detail is key.
“You don’t deliver a project of this magnitude without encountering problems,” said Prendergast. “Anybody who tells you they’re going to deliver a project without any problems is either stretching the truth or they’re very naïve. So, the key is to stay on top of the projects, pick good contractors — which we’ve done — and make sure as we identify problems, we deal with them as quickly as possible.”
He noted the challenges of doing this type of construction work while operating in a dense, active environment.
“Each piece brings its own challenge,” Prendergast explained. “Certainly, when you bore a tunnel under a river — that’s pretty important.”
Bridging gaps
“How is the coordination between all of the different stakeholders, different entities involved?” NJBIZ asked.
“Very good,” said Prendergast. “There’s a commitment at the leadership of all the organizations involved. And actually, it’s three different entities in terms of agencies: Gateway Development Commission, New Jersey Transit, Amtrak — and two states, because we’re a bi-state agency. So, it’s similar to the Port Authority.
“The level of communication and coordination is very high.”





