Scoop: The Charlotte Gateway Station project is messier than we thought

Yes, but: In a July 31 letter to the city, NCDOT said Charlotte backtracked on funding the interim station, instead preferring to focus on the "timely delivery" of the permanent one.

• In an Aug. 13 response, Deputy City Manager Liz Babson clarified Charlotte is open to funding an interim station but did not think they could fund both.

The latest: Thursday morning, soon before this story was set to publish, NCDOT informed Axios that it is pausing discussions on the temporary station in light of the proposed 1-cent sales tax and to "ensure the Charlotte region and department's plans are well-aligned."

Context: Gateway Station will be a one-stop, mixed-use hub for Amtrak trains, city buses, the Gold Line streetcar, and the future northbound Red Line commuter rail and east-west Silver Line light rail.

• The site at Trade and Graham streets is just steps away from Bank of America Stadium.
• Developers Spectrum Companies and Republic Metropolitan are partnering to incorporate office, residences, hotel and retail around the station. The developers did not respond to a request for comment.

What they're saying: "I am writing to express our increasing concerns about the City's ability to timely deliver the Charlotte Gateway Station, as evidenced through deviations from the overall ... schedule," NCDOT's Deputy Secretary for Multi-Modal Transportation Julie White wrote in the July 31 email.

• She added that the city backtracked on its verbal commitment to "support — financially and as a policy matter — an interim temporary station."

The other side: "Economic development is extremely challenging right now," Alyson Craig, a Charlotte deputy city manager, told Axios. "This is not just a local issue, but a national issue as well."

• Craig pointed to high construction costs, inflation, the real estate market, lagging office demand and financing.
• The city has been relatively quiet about the progress of Gateway Station for years, offering only brief statements.
• "When we update the council and the public, it's important that we provide a clear picture of a viable project that is responsive to the community's needs and is also fiscally responsible," Craig added.

Between the lines: Charlotte is on the verge of gaining a new revenue stream through the proposed 1-cent transit sales tax, which will be on the Mecklenburg County ballot this November. It's also planning the rail corridors that will run through Gateway Station, only acquiring the tracks for the Red Line last year.

• In the letter, NCDOT's White voiced concerns about how land transfers to a newly formed transit authority, as part of the tax, could push the project completion beyond 2029.

Zoom in: After the developers warned the city that the commercial development wasn't viable, according to NCDOT, the city agreed to take on the construction of the station, bus depot and other infrastructure.

• Scaled-back versions of the commercial towers are expected to be built later in phases, NCDOT summarized.
• The email described how the city hired a design firm in May to look at scenarios, and work is still ongoing. NCDOT said the city keeps making refinements, such as increasing the number of proposed bus slips at the site "from eight to as many as forty," prolonging the timeline.

Flashback: Gateway Station was first envisioned in the '90s, with land purchased in 2003.

• An $86 million first phase was completed in 2022. All the infrastructure is there for trains to pull up and drop off passengers.
• But there's no way for riders to exit the platform, so the station has not opened.

Meanwhile, Amtrak still uses its outdated 1960s-era North Tryon station, which does not connect to any transit lines.

By the numbers: North Carolina train travel has reached record levels, with more than 720,000 riders in 2024.

• NCDOT is also working on a new Charlotte Passenger Rail Facility in South End to prepare for the delivery of its new trains and respond to the uptick in demand.

The big picture: Charlotte prides itself on partnering with the private sector, but it has failed to execute several recent projects, from the Charlotte Transportation Center rebuild to Mecklenburg County's Brooklyn Village project.

The bottom line: After years, Charlotte and NCDOT still have not finalized designs, cost estimates, a clear timeline or who's paying for Gateway Station's second phase, despite a goal to open by 2030.

• "The city is committed to this project and are also disappointed that this project has taken so long," Babson said.
• She added that the city shares NCDOT's desire to complete the station, "while also looking at the larger picture for the Charlotte Gateway Station and Uptown."