(Bloomberg) — New York City’s run-down bus terminal has scored a round of federal funding for its $10 billion makeover, just days before President-elect Donald Trump’s inauguration.
Most Read from Bloomberg
The Port Authority of New York and New Jersey will receive a $1.9 billion loan through the US Department of Transportation to finance the first phase of the Midtown bus terminal replacement project, according to a Tuesday press release.
The new facility in the heart of Manhattan will replace one which was built in 1950, and is the busiest in the world. It will include a new 2.1 million square-foot main terminal, a separate storage and staging building, and new ramps leading in and out of the Lincoln Tunnel.
The loan “will enable the Port Authority to build a 21st century bus terminal that commuters from New Jersey and communities in New York City deserve and will rely on for decades to come,” Port Authority Chairman Kevin O’Toole said in a statement.
The agency is another last-minute recipient of federal funding for transportation projects in the final weeks of the Biden administration. The Chicago Transit Authority recently received a $1.97 billion federal grant from the Federal Transit Administration to help pay for the long-awaited extension of its busiest heavy-rail line. Transit experts expect federal assistance for transit improvements to ease significantly once Trump takes office.
The midtown project is backed by Port Authority capital funds and federal aid. Last year, New York officials said the city will commit 40 years of future tax revenue — up to $2 billion — to help finance the new terminal.
Construction is slated to start early next year starting with the deck-overs above Dyer Avenue. The new main terminal is expected to be finished in 2032.
–With assistance from Shruti Date Singh.
Most Read from Bloomberg Businessweek
©2025 Bloomberg L.P.