Brightline's bond offering exceeds expectations for rail project

Brightline West has successfully sold $2.5 billion in private activity bonds for its high-speed rail project connecting Las Vegas to Southern California. This strong demand shows that investors are confident in the project, which is expected to cost over $12 billion. Construction is set to begin later this year on the 218-mile rail line, including stations and maintenance facilities. The bond sale generated about $1 billion more than anticipated, thanks to attractive rates for investors. Tracy Larkin Thomason, director of the Nevada Department of Transportation, announced this positive news at a recent meeting. Brightline West has already secured a $3 billion federal grant for the project. Additionally, it has another $3 billion in bond authority from the U.S. Department of Transportation and is seeking $6 billion in construction loans from various banks. Larkin Thomason expressed relief and confidence about reaching the total $12 billion needed for the project. The rail will cover 34 miles within Nevada, stretching from the California-Nevada border to a station planned for Las Vegas on Las Vegas Boulevard. It will be built alongside Interstate 15 with safety barriers and no at-grade crossings. The rail will connect Las Vegas to Rancho Cucamonga, California, located near Los Angeles. Passengers can also transfer to other Southern California services like Metrolink. A one-way ticket is expected to cost $119, with travel time around two hours. The bond sale follows praise from newly appointed Transportation Secretary Sean Duffy, who has called Brightline West a worthy investment for taxpayers. Larkin Thomason noted that the project has strong support in Washington D.C., alleviating concerns after the change in administration.