Port of Virginia receives 40-year lease of Richmond terminal

With approval for a 40-year lease of the Richmond port facility, VPA will be able to make long-term investments to further enhance its container-on-barge service from Norfolk.    The Port of Virginia has solidified its long-term commitment to the Port of Richmond barge terminal located along the James River by receiving approval from the City of Richmond for a 40-year lease.
   The lease was unanimously approved by the Richmond City Council on Sept. 14. 
   “The Port of Virginia will help to integrate Richmond and Central Virginia into global trade networks,” said Richmond Mayor Dwight C. Jones in a statement. “We are confident that with this partnership we can enhance marketing around our port, encourage potential port users to relocate here, and have existing users expand their operations.”
   Port of Viriginia officials acknowledged in July that they were seeking a long-term lease for the city-owned terminal, but were open to agreeing to another five-year lease if that’s what Richmond officials wanted. The Virginia Port Authority has leased and operated the facility since 2011, and the existing agreement was set to expire in the summer 2016. 
   VPA has driven more container traffic to the Central Virginia river port in recent years via a container-on-barge service. In fiscal year 2013, the barge serve transported more than 6,400 containers. This number increased by 49 percent to more than 9,400 containers in fiscal year 2014. And barge volumes increased another 49 percent in fiscal 2015, finishing the year with more than 14,000 containers transported, the port authority said.
   In addition, the barge operation has increased from a twice-weekly service to offering three trips per week since January, with an average of 200 container moves per week. Six ocean carriers are also offering bills of lading directly to the Port of Richmond. To further improve efficiency, the Port of Virginia has made rail improvements and purchased a new mobile harbor crane scheduled to arrive at the Richmond terminal in early 2016.
   “Our bid on the Richmond port facility guarantees significant investment in the Port of Richmond facility over the next 40 years,” said John F. Reinhart, chief executive officer of the Virginia Port Authority. “Cargo moving up and down the James River provides a direct connection with shippers in Central Virginia and means less truck traffic on our roadways.”
   The Port of Richmond is located next to interstates 95, 64 and 85, and has direct access to Class I railroad CSX.