Federal Transit Deputy Administrator Veronica Vanterpool on Jan. 10 inked a Full Funding Grant Agreement with Chicago Transit Authority (CTA) to support the Red Line Extension project, according to the Federal Transit Administration (FTA), which will invest $1.97 billion to help extend the Red Line 5.5 miles, linking the city’s Far South Side to the L system for the first time.
The federal support for the estimated $5.75 billion project comes from FTA’s Capital Investment Grants (CIG) program. CTA entered the Engineering phase of FTA’s New Starts program in 2023. In August 2024, the transit agency’s Board approved a design-build contract with Walsh-VINCI Transit Community Partners. The start of construction is slated for late 2025, with service beginning in 2030.
CTA will extend the Red Line from the existing terminal at 95th/Dan Ryan to 130th Street, and provide four new fully accessible stations near 103rd Street, 111th Street, Michigan Avenue, and 130th Street that will each offer multimodal connections (bus, bike, pedestrian, and park & ride facilities). The average population density within one-half mile of each station is nearly 6,800 people per square mile, according to FTA.
The Red Line Extension will also include new traction power substations, approximately 1,200 parking spaces, and a new rail yard and maintenance shop near 120th Street.
CTA estimates that the project will generate more than 25,000 jobs in Cook County and bring in $1.7 billion in real estate activity through 2040, along with planned transit-oriented development around the 95th Street Corridor.
“The Red Line Extension project has been in the works for a number of years and is the largest single transit project in CTA history,” FTA reported. “The project will address inequalities in access and economic investment in predominantly Black and disadvantaged neighborhoods in the city and improve transit connections between destinations such as the Rosalind Medical District, Pullman National Monument, Chicago State University, and the Chicago Housing Authority’s Altgeld Gardens housing development.”
Many residents of the Far South Side rely on public transportation because they cannot afford or are unable to drive, according to FTA. Approximately 24% of residents in the project corridor live below the poverty level, and 25% travel more than 60 minutes to their jobs—all exceeding city-wide averages, it noted.
CTA anticipates a total project ridership of approximately 38,000 rides each weekday. By 2040, the Red Line Extension will provide some 40,000 trips per day.
“After decades of promises, a profound change for the lives of Chicagoans is finally here,” Veronica Vanterpool said. “Beyond providing the Far South Side access to new destinations, this expansion will drive significant economic growth and development, creating opportunities as well as fostering a vibrant local economy for Chicagoans well into the future.”
