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Metrolinx has acquired a section of CN's Kingston subdivision line to use for commuter- and passenger-rail services in eastern Toronto for $308 million.

The two- and three-track corridor runs east of Union Station in downtown Toronto to a junction in Pickering, Ontario, where the line connects with GO Transit’s separate right of way.

The acquisition provides Metrolinx "full ownership of an important segment of GO Transit's Lakeshore East commuter-rail corridor from Union Station to Oshawa, Ontario, and a direct connection to GO Transit's Stouffville corridor in eastern Toronto," said Metrolinx President and Chief Executive Officer Bruce McCuaig in a prepared statement. "Owning this rail corridor section better positions GO to improve service, better control operations and plan future service growth."

The acquisition also provides Metrolinx ownership of 61 percent of the rail corridors on which GO Transit operates.

For CN, the sale is representative of the Class I’s "strong partnership" with Metrolinx, said CN President and CEO Claude Mongeau.

"We are pleased to have concluded this sales agreement to transfer a critical link in the commuter-rail network to Metrolinx, while protecting CN's operating rights over this line to ensure continued service to its freight customers," he said.