"The facility that the railroad intends to construct will improve goods movement at the Kaiser Commerce Center," says Nelson C. Rising, chairman and chief executive officer of Catellus. "The land sale also fits within our overall strategy for Kaiser, and will further enhance its value as one of the premier distribution warehouse sites in the Inland Empire."

The purchase price of the acreage should be revealed in a conference call scheduled for next week. In June 2000, Catellus acquired the 588-acre former steel mill site for $16 million. After the land sale to BNSF, the planned business park will be capable of supporting up to seven million square feet of additional development.

The California Transportation Commission has approved $18.6 million in state transportation funds for the design and construction of an improved highway overpass at the site, which is located near the intersection of Interstates 10 and 15, a freeway exchange that accommodates forty percent of the truck traffic that enters and leaves the state of California.