Air Freight News

First new Utah railroad in decades to connect Lakeview Business Park to global markets

Nov 08, 2024

Savage Tooele Railroad Begins Construction of Rail Line to Serve Lakeview Business Park in Tooele County, Benefitting Utah Communities and Commerce

Savage Tooele Railroad (STR) held a groundbreaking event today marking the start of construction on Utah’s first new railroad in decades. The new short-line railroad will serve tenants of the Lakeview Business Park. In April, the U.S. Surface Transportation Board granted approval for STR to construct, rehabilitate and operate approximately 11 miles of rail line in Tooele County, Utah.

This significant milestone paves the way for enhanced logistical efficiency and connectivity to Lakeview Business Park, a 1,700-acre master-planned logistics hub in Grantsville, UT, making it the ideal industrial center for companies looking to thrive in Utah and gain access to global markets. Providing a rail alternative to truck transportation will also lower emissions and reduce fuel consumption and wear-and-tear on roads.

Utah Governor Spencer J. Cox emphasized the STR project's significance: "This is a historic project, and one that will have an enormous positive impact on the Utah economy. This new rail line will be a tremendous advantage for Utahns and Utah businesses for generations to come."

“Today's groundbreaking marks an exciting milestone for Tooele County and all of Utah,” said U.S. Senator-elect John Curtis. “Connecting Lakeview Business Park with new rail infrastructure will boost economic growth, reduce environmental impacts, and enhance opportunities for local businesses and residents. I'm pleased to support projects like this that strengthen our community and drive development.”

“We’re excited to start the construction of the STR rail line, and to safely and responsibly build and operate this new short-line railroad in Tooele County,” said Savage CEO Kirk Aubry. “It’s not often that we get to witness or participate in the birth of a new railroad, in Utah or anywhere. We appreciate the support of federal, state and local officials, our Customers and Partners, and everyone involved with this project.”

In linking STR with Lakeview Business Park, development partners Prologis and The Romney Group continue to advance their strategic vision for the center.

"The STR will significantly improve Lakeview Business Park’s connectivity and accessibility, strengthening its ability to support companies’ supply chain operations,” said Gus Gradinger, Vice President, Customer Led Development, Prologis. “With the park fully entitled, modern logistics and manufacturing facilities can be developed and delivered fast for a wide range of businesses."

Jason Ray, President of Savage's Infrastructure Sector, also highlighted the significance of this achievement: "This is an important milestone in our work to bring rail service to Lakeview Business Park tenants, connecting them with the country's expansive rail network and improving their access to domestic and global markets."

Tom Freeman, Vice Chair at Colliers, echoed these sentiments, emphasizing the significance of strategic partnerships in driving growth and development. "Lakeview Business Park exemplifies the power of collaboration and strategic planning in creating vibrant, sustainable communities. We are excited about the opportunities in store for companies that elect to do business within this visionary project and look forward to growing this market-leading development."

Recent project announcements in Tooele County signal a surge in economic growth and business investment. Lineage Logistics is expanding in Grantsville, adding a 220,000-square-foot facility and up to 96 new high-paying jobs over the next five years. Leitner-Poma is establishing a new manufacturing facility in Tooele, investing over $27 million and creating up to 120 jobs. Additionally, Minova plans to open a new manufacturing facility, projecting to add 58 new high-paying jobs and invest $24.5 million in Utah. These developments showcase the region's attractiveness for businesses seeking growth opportunities and technical expertise.

Construction of the rail line aligns with a broader vision for economic development within the greater Tooele County region. Mayor Neil Critchlow of Grantsville City remarked, "We are very pleased with the progress toward reactivating the Warner Spur between the Union Pacific Railroad mainline near I-80 and Lakeview Business Park. We expect that positive economic development within Grantsville City and the greater Tooele County area will be accelerated, enhancing the opportunity for our residents to find employment close to home."

State Route 179, or the Midvalley Highway, is a significant infrastructure development revolutionizing access to Tooele County and Lakeview Business Park. Extending from SR-36 south of Tooele to an interchange at Interstate 80, the project strategically enhances highway transportation routes, reducing commute times and expanding the labor pool accessible to the park. Linking key thoroughfares such as SR-112, the Midvalley Highway is poised to stimulate economic growth and fortify regional connectivity.

Mayor Critchlow continued, “The reduced truck traffic that this project will afford and the lower emission from residents no longer commuting to Salt Lake City for employment will ultimately enhance our quality of life and reduce the negative environmental impacts that increased truck and automobile traffic would otherwise cause."

Lakeview Business Park’s flexibility offers businesses adaptable build-to-suit or self-development solutions. The park includes direct truck connections to major arteries I-80 and I-15, complemented by an interchange with Union Pacific Railroad, ensuring efficient logistics for all carrier needs. A dedicated heavy-haul corridor within the facility streamlines shipping, conveniently positioned a mere 20 minutes from Union Pacific’s Salt Lake City intermodal terminal and the Salt Lake City International Airport. Further enhancing its appeal, the railway features a robust 286,000-pound capacity with five days per week service to industries.

“Union Pacific is excited about our partnership with Savage and the opportunity to provide rail service to the Lakeview Business Park. Our 32,000-mile network, with its nine international gateways to Canada and Mexico, will provide new opportunities for market growth and expansion for those that choose to develop new warehouses, facilities and other businesses in the park. Congratulations to everyone working to make this project a success,” said Dan McLaughlin, Assistant Vice President of Marketing and Sales at Union Pacific Railroad.

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