Township seeks 1-mile Tesla tunnel in bid to ease Waterway congestion

The Woodlands Township has submitted a proposal to Elon Musk’s Boring Co. to build a free, 1-mile tunnel beneath Town Center, aiming to ease traffic around the Waterway during peak hours and major events.

Arden Huels

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Arden Huels

Published 

Feb 24, 2026

Township seeks 1-mile Tesla tunnel in bid to ease Waterway congestion

The Woodlands Township has announced its intention to pursue construction of a tunnel beneath Town Center, aligning with Elon Musk’s Boring Co. initiative, the “Tunnel Vision Challenge.” This national effort aims to address and alleviate traffic congestion issues.

On Thursday, the township board unanimously endorsed a letter of support and a formal proposal for the initiative known as the “Waterway Loop.” If chosen, The Boring Co. will build a mile of tunnel at no cost to the township.

A proposed system aims to connect Waterway Square, The Woodlands Waterway Marriott Hotel and Convention Center, Cynthia Woods Mitchell Pavilion, and Town Green Park. Plans have been unveiled for the construction of two parallel tunnels, each measuring 12 feet in diameter, designed to facilitate the transportation of riders via a fleet of Tesla vehicles between various destinations.

The proposal submission deadline is set for Monday, with the company scheduled to reveal the winning project on March 23.

Chris Nunes, the township's Chief Operating Officer, stated that the project is still in its preliminary phases. The proposed tunnel aims to facilitate the movement of vehicles and pedestrians during peak travel periods, especially during major events along the Waterway corridor, if completed.

“It has the potential to be something truly beneficial for our community,” stated Board Member Shelley Sukula-Gibbs. Sukula-Gibbs has taken the helm in the township's initiative to advance the project. Officials have driven home the potential benefits of a new initiative, stating it could significantly alleviate traffic congestion and enhance the overall quality of life for both visitors and residents alike.

According to township materials, the proposed zero-emission tunnel system aims to reduce vehicle and pedestrian congestion on surface streets during peak demand. Chairman Brad Bailey announced that leaders are examining the concept comprehensively.

Bailey emphasized the potential for innovative solutions, suggesting tunnels extending beneath the entire waterway. However, he acknowledged that significant work remains before any project can advance.

The Boring Company commenced operations of its inaugural commercial tunnel transit system in Las Vegas in 2021. The Las Vegas Convention Center Loop, along with its connectors, features eight stations and has transported 3 million passengers, according to the company. The Boring Company has announced plans to expand its Las Vegas transportation system to 68 miles, with 104 stations throughout the area.

Officials from the township have underscored that selection does not guarantee a final decision, noting that additional planning, engineering, and public feedback will be required before construction begins.

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