The Grand Trunk Western (GTW) began operating jointly with the PRR over this
line under trackage rights (basically paid permission) granted by the Pennsylvania
RR in 1946. The GTW had abandoned its own line between Greenville and Muskegon
but still needed access to Muskegon to service its car ferry operation across
Lake Michigan. The Pennsylvania RR merged with the New York Central RR on
February 1, 1968 to form the Penn Central. Penn Central was bankrupt by the
early 1970s. Since Penn Central was responsible for maintenance, track
conditions on the line became quite poor with train speeds usually limited
to less than 10 mph.
GTW and Penn Central were still both operating trains over this line until
Conrail was created on April 1, 1976 from the remains of Penn Central and
several other bankrupt eastern railroads. The creators of Conrail did not
want the Grand Rapids-Muskegon line as part of their new system. The GTW saw
this as an opportunity and purchased the line. It upgraded the track back
up to a 49 mph speed limit to serve its car ferry service, sand mines and
other businesses on the south side of Muskegon. It also serviced the grain
elevators in Conklin and Ravenna.
The railroad car ferries quit operating out of Muskegon in 1978 and rail traffic
on the line dwindled to a point that was no longer profitable to the GTW.
GTW sold its Grand Rapids Subdivision from Muskegon to Durand to the Central
Michigan RR on September 4 1987. They could not build business to an sustainable
level on the section between Marne and Muskegon and rail service was discontinued
in January of 1989. The tracks sat unused until they were removed in the fall
of 1990.