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Construction is under way on Union Pacific Railroad’s $90 million intermodal terminal in Bexar County, Texas, near San Antonio.

Yesterday, the Class I held a groundbreaking ceremony for the San Antonio Intermodal Terminal, which will be completed in late 2008. The facility initially will handle 100,000 trailers annually; eventually, the terminal will be expanded to process 250,000 trailers and containers each year.

The facility will feature computer systems designed to coordinate all rail-car, truck, trailer and container moves, and reduce the time a truck stops at the gate from the national average of four minutes to 30 or 45 seconds.

Trucks currently travel to Houston to drop off containers for rail moves because intermodal capacity is in short supply around San Antonio.

UP recently contracted First Industrial Realty Trust Inc. and 4M Realty to jointly develop the terminal.

“We believe that Union Pacific customers will find it advantageous to locate close to this … intermodal facility,” said First Industrial Senior Development Officer Terry Darrow in a prepared statement.