Charlotte Gateway Station, a decades-old plan to build a transformational Uptown transit hub, faces new setbacks. Developers say the market is too weak for commercial construction, and the N.C. Department of Transportation recently blamed the city for costly delays, according to records Axios obtained.

Why it matters: NCDOT wants the station ready by 2030 for the arrival of new trains. Or, at the least, they want to build a $15.5 million temporary station to start running service to Uptown by early 2027.

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: NCDOT informed Axios Thursday 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."

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.

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 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," Babson said, "and are also disappointed that this project has taken so long."

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The chaos over the Gateway Station comes as ridership on North Carolina's Amtrak rail service hits record numbers.

Why it matters: More than 720,000 people rode North Carolina trains in 2024.

• The state-supported Piedmont line between Raleigh and Charlotte, which added a fifth daily train trip in 2023, is driving much of the growth.

Driving the news: Train ridership grew by 4% in the first half of the year compared to the same period last year, according to figures from the N.C. Department of Transportation.

What's next: More improvements to the line between Raleigh and Charlotte could be coming.

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Rev. Ricky Woods of First Baptist Church-West says a campaign will kick off soon to encourage voters to reject Mecklenburg County's 1-cent mobility sales tax referendum. (🔒 CBJ)

🏒 Carolina Hurricanes owner Tom Dundon and a group of investors have reached a tentative agreement to buy the NBA team the Portland Trail Blazers. (Axios Raleigh)

⚡️ Duke Energy wants to merge its two electric utilities in the Carolinas: Duke Energy Carolinas and Duke Energy Progress. The Charlotte-based company says it would save customers more than $1 billion through 2038. (WRAL)

🍴 Best Impressions has ended operations of its meal delivery service Table & Twine. But management hopes the brand will live on with a new owner. The service operates in Charlotte, Charleston and Raleigh, and has an existing customer list of around 5,000. (🔒 Unpretentious Palate)