ericmacm
Active Member
That's a good point. I was initially thinking that CN would not want to part with the entire Guelph Subdivision and this would be the only real way to get better service on the line, but then I saw this article from 2020 that says CN is actually trying to sell its low-density rail lines in Michigan, Wisconsin, and Ontario. CN Guelph is a low density line so they are actively looking to get rid of it.I'm not clear on why one would spend money to upgrade someone else's corridor, and potentially increase its ultimate sale price, if one is also in the market to ultimately buy it.
Cheaper to buy it in the devalued state.
I'd say it's roughly twice the length of Metrolinx's purchase in 2014 and probably in terrible condition so $160M actually isn't too outrageous of a number to value that section of the line at.




