Tutor Perini Corporation (NYSE: TPC), a firm specializing in civil, building, and specialty construction, announced on Monday that it secured a design change order valued around $53 million for the City Center Guideway and Stations Project located in Honolulu, Hawaii. This change order broadens Tutor Perini's involvement by authorizing the firm to undertake design responsibilities for an extension of the existing rail transit line within the city.
The newly assigned task involves the engineering and planning of a rail extension that would stretch beyond the current terminal station, linking the Kakaʻako district with Ala Moana. Integral to this expansion is the addition of two stations along the newly planned segment. This progress strategically positions Tutor Perini to potentially engage in subsequent construction efforts, contingent upon project advancement and funding availability.
The company indicated that the awarded contract amount reflected solely the design portion of the project. Tutor Perini emphasized that the overall contract value holds the potential for significant growth, dependent on whether the Honolulu Authority for Rapid Transportation (HART) secures the requisite additional funding to facilitate the extension's construction phase. The expectation of substantial funding inflows appears aligned with prospective further awards of construction work relating to this rail extension.
The City Center Guideway and Stations Project forms a critical element of Honolulu's wider rail transit initiative, which aims to enhance connectivity between key urban neighborhoods and major commercial zones, supporting the city's broader development and transportation improvement agenda.
Established in 1894, Tutor Perini is known globally for its comprehensive services encompassing general contracting and design-build functions targeted toward both public agencies and private clients. The company specializes in delivering intricate projects with an emphasis on stringent safety protocols and high-quality outcomes. Its capabilities span multiple delivery methods, including design-bid-build, design-build, construction management, and public-private partnerships, underpinned by multidisciplinary in-house expertise.
Investor interest in infrastructure projects can also be accessed indirectly through exchange-traded funds such as the Global X U.S. Infrastructure Development ETF (NYSE: PAVE) and the iShares U.S. Infrastructure ETF (NYSE: IFRA), which provide exposure to a broad set of companies involved in U.S. infrastructure.
Market data as of Monday indicated that Tutor Perini's shares experienced a slight decrease, trading at approximately $68.47 per share, down 0.85%, according to Benzinga Pro.