On Thursday, the Alaska Railroad’s Board of Directors approved purchasing a $137 million cruise facility in Seward. This begins construction of the largest turn port in Alaska, set to open in spring 2026.

Upon completion, the Alaska Railroad will acquire the facility for $137 million, including debt linked to a 30-year pier usage agreement with Royal Caribbean Group, which will have preferential berthing rights. The Alaska Railroad will own and operate the facility as an open dock for multiple cruise lines.

“Large developments are never easy. Today’s greenlight approval was two years in the making. The Alaska Railroad Board’s decision to purchase the new facility shows the value of the certainty of the partnership between Royal Caribbean Group, Turnagain, Seward Company, and the executive team at the Alaska Railroad created,” said Mickey Richardson, CEO of the Port of Tomorrow, representing the ownership of the Seward Company. “The agreement guarantees cruise ships will continue to serve Seward for the next 30 years and beyond.”

ABOUT THE FACILITY

- 68,000-square-foot turn port terminal.

- Handles cruise ship provisioning.

- Serves as a community space.

- 750-foot floating dock with two berths for modern cruise ships.

- Future maintenance capability at Seward’s shipyards.

- Supports fresh water, local fuel, and shore power.

- 150-foot transfer span connects to Alaska Railroad and ground transportation.

“It will be the largest floating pier in the state” said Jason Davis, President of Turnagain, the design/builder of the Seward port. “Alaska’s infrastructure growth, and for that matter, the growth of the tourism industry, depends heavily on projects supported by the cruise industry, global travel partners, and Alaskans,” added Davis.

The visitor industry is Alaska’s second-largest private-sector employer, providing one in ten jobs (52,000) and generating an economic impact of $5.6 billion. The Seward cruise port is essential for the future of Alaska’s travel industry, ensuring the viability of the Cross-Gulf turn port and supporting tourism development in Southcentral and Interior Alaska.

“The Alaskan experience is at the heart of our decades-long agreement with the Alaska Railroad and the city of Seward,” said Preston Carnahan, Royal Caribbean Group, AVP West Coast Destinations. “This new facility supports our commitment to deliver incredible experiences to our guests while also developing a state-of-the-art facility and community hub. This reinforces our commitment to the Seward community who has graciously welcomed us to their beautiful home.”

Construction on the new terminal will start after the 2024 Alaska cruise season. The foundation is expected to be in place before winter, with pier construction planned for fall 2025. The grand opening is set for spring 2026.

“The existing passenger dock has brought incredible economic opportunities to Seward over its lifetime, but after 60 years of service it’s imperative that we replace this aging infrastructure,” said Bill O’Leary, CEO of the Alaska Railroad. “We’re glad to have partners that recognize that fact as well, as this project would not be possible without Royal Caribbean’s 30-year commitment. The new dock represents a great investment in Seward as well as Alaska’s travel industry across the state, and we’re excited to help support the next 60 years of industry growth and opportunity in our state.”