The cost of Brightline West’s 218-mile high-speed rail line between Southern California and Las Vegas has increased to $21.5 billion, up from $16 billion.
The private developer, backed by Fortress Investment Group, has applied for a $6 billion loan under the Railroad Rehabilitation and Improvement Financing (RRIF) program through the U.S. Department of Transportation. The loan would replace a bank facility in the project’s original financing plan and offer lower interest rates and longer repayment terms.
Brightline West will raise additional equity to cover most of the $5.5 billion cost increase and may secure a smaller bank facility. The project also includes $5.5 billion in tax-exempt bonds and a $3 billion federal grant awarded in 2024 under the Infrastructure Investment and Jobs Act.
Rising construction costs stem from higher prices for materials and labor amid competing demand from data-center and energy projects. The all-electric trains will operate at speeds up to 200 miles per hour along the Interstate-15 corridor.
Service is now expected to begin in September 2029, one year later than initially planned. Brightline West aims to capture about 20 percent of the 47 million annual trips between Southern California and Las Vegas by 2031.