Skanska-Fay JV completes $450 million Baltimore tunnel project two years early
A joint venture between Skanska and Fay, S&B USA Construction, has achieved substantial completion of CSX’s $450 million Howard Street Tunnel Modernization Project in Baltimore—nearly two years ahead of schedule.

The progressive design-build project increased the tunnel’s clearance from 19 to 21 feet to accommodate double-stack freight trains traveling between Baltimore and Philadelphia. The 8,700-foot-long tunnel, originally built in 1895, now meets modern freight requirements without the cost or disruption of constructing a new structure.
To raise the clearance, crews excavated and replaced the tunnel floor with nearly 1,200 precast concrete invert slabs using a custom rail-mounted gantry crane. The project team—comprising Skanska, Fay, Hatch, and WRA—used continuous 24/7 construction over seven and a half months to complete the work.
CSX said the improvements will boost freight capacity and supply chain efficiency through the Port of Baltimore and along the Mid-Atlantic rail corridor. The project also extends the tunnel’s operational lifespan and supports broader infrastructure modernization goals for the region.
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