KiwiRail was believed to have been driving a hard bargain until last week with Auckland Transport to allow passenger access rights through land it wants to sell to property developers.
But Auckland Council infrastructure chairman Mike Lee, a long-time campaigner for a Parnell station who had been told the Government rail company was demanding an "eye-watering" sum of up to $2 million a year, says he understands it is now prepared to accept "a much more reasonable access charge".
He noted earlier that KiwiRail was already charging Auckland Transport - and therefore ultimately its train passengers - $17 million in annual fees for access to the overall network.
An Auckland Transport spokesman said his board had approved the station subject to conditions, including securing access rights from KiwiRail, and was ready to start construction within weeks, once the coast was clear.
KiwiRail communications manager Jenni Austin would not comment directly on Mr Lee's information, except to say the organisation "can confirm we are working with Auckland Transport to finalise the arrangements for the proposed Parnell station.
"This includes the provision of an easement across railway-owned land to the proposed station from Cheshire St and the repositioning and restoration of the old Newmarket station [building] on the site."
She said KiwiRail was also working with the land's current occupier, the Mainline Steam heritage railway trust, on its leasing arrangements "and the probable sale of rail-owned land not required by Auckland Transport for the station".
Mainline Steam official Mike Tolich said the trust, which charters trains for excursions throughout the North Island, was negotiating for a new home after being told by KiwiRail it had to leave Parnell by the end of May.