The long-awaited Second Avenue Subway expansion has taken a major step forward, with Governor Kathy Hochul and the Metropolitan Transportation Authority (MTA) announcing the award of a USD 1.97 billion contract to Connect Plus Partners for tunnelling and station shells on Phase 2 of the project.

(Marc A. Hermann / MTA)
Phase 2 will extend the Q Line 1.5 miles north from 96th Street to 125th Street, adding three new stations at 106th Street, 116th Street, and 125th Street. The expansion will provide much-needed relief for the overcrowded Lexington Avenue Line, the busiest subway corridor in the United States.
When complete in 2032, the project will improve accessibility across East Harlem, a neighbourhood long underserved by rapid transit.
Contract scope
The award is the second of four major construction packages for Phase 2. It covers tunnel boring and station shells, as well as rehabilitation of unused tunnels built in the 1970s, when earlier efforts to construct the line were abandoned.
The first contract, valued at USD 182 million, was awarded in 2023 for utility relocation and building preparation. Further packages will follow for systems installation, tracks, and station entrances.
Second Avenue Subway expansion funding
The USD 7.7 billion project is supported by a USD 3.4 billion grant from the Federal Transit Administration, one of the largest ever awarded to a single U.S. transit scheme. New York’s forthcoming congestion pricing programme, expected to begin in 2026, will also contribute funding.
Governor Hochul said: “The Second Avenue Subway is a project that has been talked about for generations. Today, with federal support and a clear construction plan, we are delivering on the promise of better transit for East Harlem.”
Construction approach
Two tunnel boring machines will be deployed north of 120th Street, while south of 120th Street contractors will use cut-and-cover methods and existing infrastructure.
Although New York’s construction costs remain among the highest globally — estimated at nearly USD 4 billion per mile — officials argue the benefits per rider justify the investment, given the city’s extreme ridership density.
The project requires new station entrances and ventilation facilities, with some properties subject to compulsory purchase. Community leaders have welcomed the transit improvements but raised concerns about potential displacement of small businesses.
For many residents, however, the project is seen as a long-overdue investment in accessibility and economic opportunity.
A Century in the making
The Second Avenue Subway has been planned since 1929, but successive economic crises stalled progress. Work in the 1970s was abandoned before completion.
Phase 1, extending the Q Line from 63rd to 96th Street, finally opened in 2017 after nearly a decade of construction at a cost of USD 4.45 billion. Phase 2 continues this incremental approach, with potential future extensions through Midtown and Lower Manhattan still unfunded.
Timeline
- 2025 – preparatory work expands
- 2027 – tunnelling begins
- 2032 – stations open at 106th, 116th, and 125th Streets
The MTA projects the extension will serve over 100,000 daily riders.
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