NEW YORK CITY-The expansion of New York’s Pennsylvania Station got back on track after officials approved a contract to jump-start construction work on the long-delayed and much anticipated project. The Moynihan Station Development Corp. board of directors approved a $148 million contract to Skanska USA for phase I of Moynihan Station on Wednesday afternoon, paving the way for a new intercity train hall for Amtrak within the Farley Post Office Building, GlobeSt.com has confirmed.

The $267 million project—which will be managed by the Port Authority of New York & New Jersey—will connect the existing Penn Station with the Farley Building across Eighth Avenue. The work will involve the construction of new entrances through the northeast and southeast corners of the Farley Building, as well as the widening of Penn’s West End Concourse, providing new connections and access elements to the platform, which serves New Jersey Transit, Amtrak and Long Island Rail Road riders.

The construction will double the width of the West End Concourse to serve nine of the station’s twelve train platforms to improve passenger circulation and capacity. In addition, two new entrances will allow direct passenger access in the Farley Building at 31st and 33rd Streets and Eighth Avenue to the concourse, allowing the public to pass through for the first time.

Applauding the announcement with much fanfare, Vin Cipolla, president of the Municipal Art Society of New York, says in an e-mail to GlobeSt.com that finalizing the first construction contract for Moynihan Station is a ‘good first step.’ “The Municipal Art Society has long advocated the revitalization of the Far West Side and of Moynihan,” he says. “Both are critical to the livability of both New York City and the region. We commend the Governor on his commitment to seeing this project through.”

Funding for the construction contract will come from a combination of federal, state and local sources, including an $83 million in TIGER (Transportation Investment Generating Economic Recovery) grant that the Moynihan Station Development Corp. received from the US Department of Transportation. The MTA will chip in $29.5 million, the Port will contribute $10 million and the remaining funds will come from federal grants and appropriations.

According to the Port, construction is expected to begin this summer, and phase I is expected to be completed within the original 2016 timeframe. However, according to meeting minutes from the MSDC, phase 2 of the Moynihan project has “no near term” until the future horizon year of 2035. GlobeSt.com previously reported that a joint venture of Vornado Realty Trust and the Related Cos. were appointed as official developers for phase II in 2005, though no funding or new plans have been revealed.

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The project has long had the support of the real estate industry, as well as transportation and infrastructure advocates. After the original Penn Station was demolished between 1963 and 1966 to make way for Madison Square Garden, late Sen. Daniel Patrick Moynihan proposed to turn the Farley Building into a “twin” train station to Penn. But after 20 years, little progress was made.

But now, LIRR, New Jersey Transit and Amtrak commuters will finally see tangible results, says Pat Foye, executive director of the Port Authority. “A new West End Concourse will be the concourse for the new station accompanied by a significant increase in access to and from all the tracks,” he says in a statement.

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