Construction has commenced on Phase 2 of the Windsor Street Exchange project in Halifax, Nova Scotia, Canada.

Phase 2 follows early preparatory works begun in October 2025 and will focus on building the core elements of the project.

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Planned works include a new overpass designed to improve vehicle movement between the Bedford Highway and Highway 111, as well as redesigned intersections at Bedford Highway, Lady Hammond Road and Windsor Street.

The construction phase will also include a new link road from Bayne Street to Lady Hammond Road, upgraded intersections with traffic signals, an additional exit to improve access to the Port of Halifax, and renewal of Halifax Water infrastructure.

Halifax Mayor Andy Fillmore said: “This project is about keeping people, goods and our economy moving. It will improve traffic flow, strengthen transit reliability, enhance access to the Port of Halifax, and support one of Atlantic Canada’s most important trade and transportation corridors.”

The total cost is estimated at C$180m ($127m), with funding contributions from the Halifax Regional Municipality, the Province of Nova Scotia, the Government of Canada, Halifax Water and the Halifax Port Authority.

The municipality is contributing C$85.75m, Transport Canada is providing C$23.5m, Halifax Water is allocating C$60m, the Province is contributing C$10.75m, and the Halifax Port Authority is contributing C$2m.

Province of Nova Scotia Public Works Minister Fred Tilley said: “The Windsor Street Exchange Project is an important investment that will improve safety, reduce travel times, and support a key trade corridor that is critical for the future economic prosperity of Nova Scotia and all of Canada.”

The project is being delivered using a progressive design-build approach, which integrates the design and construction phases to improve flexibility and streamline project management.

The construction contract was awarded to Dexter Construction in late 2024.

Major construction is set to continue through to 2029, with substantial completion expected in summer 2029 and final works due later that year.

Traffic management during construction will include detours and advance coordination, with updates provided through official channels.

The Windsor Street Exchange area is a major transportation hub, with between 92,000 and 110,000 vehicles passing through daily.

Once finished, the project aims to reduce congestion, improve road safety and efficiency, and support key transit and trade routes in the Halifax region.