Plans to build a tunnel from Jersey to Herald Square for commuters looks like it’s hitting a delay.
The $8.7 billion rail tunnel project, which would bring Jersey commuters to a new terminal to be built near Macy’s, relies on some property owners on the west side of Manhattan getting bought out in order to move ahead on the project. The delay could run 4-6 months and send costs skyward.
The Port Authority of New York and New Jersey, which has pledged $3 billion toward the project, has begun trying to acquire buildings and obtain permission to bore under others. Its lawyers have been negotiating with the city over how much public notice is required before the Port Authority can condemn the property it wants.
A committee advising Governor Christie on transportation issues concluded that the required notice could affect the tunnel-boring contracts that have been awarded. In early December, New Jersey Transit, the lead agency on the project, awarded a $583 million contract for the design and construction of the Manhattan side of the tunnel. Groundbreaking on that segment was scheduled to occur later this year.
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