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Work Continues at Defaulted Sacramento Railyards

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Work on track relocation, a pair of bridges and two roadways continues at the 240-acre Railyards project in Sacramento despite a pending foreclosure.

Work on track relocation, a pair of bridges and two roadways continues at the 240-acre Railyards project in Sacramento despite a pending foreclosure against Thomas Enterprises.
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In June, Illinois-based Inland American Real Estate Trust initiated foreclosure proceedings against Atlanta-based Thomas Enterprises after the developer defaulted on $187 million in loans. Thomas Enterprises has 120 days to repay or renegotiate the loans.

In the meantime, North Highlands-based MCM Construction Inc. and subcontractors Sacramento-based Teichert Construction and West Sacramento-based Alling Iron Works continue work on a cast-in-place, prestressed box girder bridge on 5th Street. More than 100 piles are in place. Concrete for the southern abutment and footings began the week of July 26.

Allied Environmental of Placerville completed a $5-million abatement project in June to remove lead-based paint and heavy metal, polychlorinated biphyenyl and asbestos-contaminated debris from eight remaining brick and metal Central Shops used to build and repair locomotives starting in the mid-1800s when the site was the western terminus of the Transcontinental Railroad.

UK-based Environmental Resources Management, which worked with Southern Pacific for 20 years during superfund remediation, acted as the construction manager on the shops cleanup.

Meanwhile, the city is stalled on a $45-million track relocation project. It went to bid in May and responses came in more than $12 million over budget. The city is reengineering the specifications and hopes to go to bid again in the fall, according to Sacramento Public Information Officer Linda Tucker. The project includes $20 million in American Reinvestment and Recovery Act funds that have to be committed by 2012. The city estimates up to 3,000 jobs could be created at the site.

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