Shortline holding company Watco is adding another railroad to its stable: Great Lakes Central, the operator of 420 miles of state-owned trackage in Michigan.
Watco already knows the railroad well. It has been an equity investor in the GLC since 2013.
“The Great Lakes Central Railroad has been a vital part of Michigan’s transportation network and both my father, Louis P. Ferris, Jr., and I have been deeply passionate about its role in connecting industries and communities,” GLC Chief Executive Jennifer Ferris said in a statement Wednesday. “Thanks to our tremendous team, GLC has experienced remarkable growth over the years, strengthening our service and expanding our capabilities. With Watco as a long-time partner since 2013, we are confident they will honor the legacy we have built while continuing to serve Michigan’s industries and communities with the same dedication and excellence.”
The rail lines run north from Ann Arbor to Cadillac, with branches to Thompsonville, Traverse City and Petoskey. The GLC interchanges with CSX, Mid-Michigan Railroad, Huron and Eastern Railway, Canadian National, and Watco’s Ann Arbor Railroad, which provides connectivity to Norfolk Southern.
The GLC handles 48,000 carloads annually, including a diverse range of commodities such as soybeans, corn and other agricultural products, fertilizers, plastics, and liquefied propane gas.
“Watco has a long history of working with the Michigan Department of Transportation through its two other short line railroads in Michigan,” Peter Anastor, director of MDOT’s Office of Rail, said in a statement. “We look forward to growing our strong partnership with Watco in preserving and enhancing critical rail service in Michigan, while providing excellent service to customers along the state-owned rail corridor between Ann Arbor and Northern Michigan.”
Watco said the acquisition will expand its presence in Michigan, where it operates the Grand Elk and Ann Arbor railroads.
“We are committed to honoring the history of the GLC and building upon our strong partnership with the Michigan Department of Transportation and our valued customers,” Watco Chief Executive Dan Smith said in a statement. “This acquisition allows us to further support and grow our Michigan customer base, and we look forward to continuing the legacy of excellence that the Ferris family has established.”
Watco will begin operations of the line pending approval by the Surface Transportation Board.
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