OmniTRAX, one of the country’s fastest growing privately held rail management companies, announced it has entered into a joint venture for the acquisition of Santa Maria Valley Railroad.
The acquisition will make Santa Maria Valley the 29th rail operation in the OmniTRAX rail network and fuel its entry into California’s Central Coast. Located between Los Angeles and San Francisco, the railroad provides freight access to commercial and agricultural customers along the coastal ports and the North American Rail Freight Network. The acquisition is a joint venture partnership with Coast Belle Rail Corporation, Santa Maria Valley rail’s local operator since 2006.
“The Santa Maria Railroad plays a critical role in California’s supply chains and this acquisition is another key step in the expansion of the OmniTRAX Rail Network,” OmniTRAX EVP Nathan Brown said. “Our agreement with Coast Belle Rail Corporation marks our first rail joint venture acquisition. As a multi-generational, privately held company, OmniTRAX has the capacity to create deal structures like this that can preserve the benefits of local involvement and knowledge.”
Coast Belle Rail said the Santa Maria Valley rail system consists of 14.7 miles of main line track interchanging with the Union Pacific Railroad in Guadalupe that served commercial and commodity customers in the Santa Maria Valley with numerous sidings and spurs along the line to support future growth. Freight customers without direct access can use transload facilities at the Osburn Rail Yard in Santa Maria, officials said.
“The Santa Maria Railroad has been vital to the valley for decades and this new partnership adds the resources, relationships, and real estate development capacities to ensure that this century old railroad continues to serve Californians for generations to come,” Santa Maria Valley Railroad President Rob Himoto said. “Our shared cultural values with The Broe Group’s multi-generational ownership are not only the basis of a strong partnership, they are a fitting tribute to the dedicated families that have built the Santa Maria Railroad’s wonderful legacy of service.”