Beginnings and the expansion of tourist operations
The Santa Fe Southern began operations in 1992, after the Atchison, Topeka and Santa Fe Railway ended operations on their Lamy to Santa Fe line and a group of local businesspeople purchased the track to continue freight service in the area. Passenger service was added later on. On October 8, 2010, the railroad was purchased by STI-Global, Ltd., an Australian-based company. STI-Global said that the purchase would allow it to test the safety systems the company produces. On May 20, 2011, the railroad was evicted from its headquarters at the depot in Santa Fe to make way for a new visitors' center planned to serve New Mexico Rail Runner passengers. On August 12, 2012, the railroad was featured in the AMCTV seriesBreaking Badseason 5 episode "Dead Freight", in which one of the railroad's locomotives was delayed at a highway crossing in order to facilitate theft of 1,000 gallons of the industrial chemical methylamine from a tank car near the end of the train. The locomotive featured was SFSR 07, a GP7u. In the credits, special thanks were given to the railroad for making the episode possible.
Financial troubles and attempted recovery
The railroad's business fluctuated greatly; in 2004, it hauled 401 carloads of freight, and in 2007 carried 25,907 passengers, but in 2009 these counts decreased to 25 and 12,208, both record lows. Towards the end of its existence, the railroad changed from separate freight and passenger operations to mixed trains at least twice a week, depending on the season. The railroad also offered charter and special trains. After the close of the 2012 operating season, things took a turn for the worse. On May 23, 2013, the Santa Fe Southern board chairman announced that he had laid off all of the railroad's full-time staffers and many seasonal employees. The railroad did not operate any trains during the year of 2013. On April 24, 2014, the Las Vegas Railway Express announced that it had reached an agreement with the Santa Fe Southern to jointly operate excursion trains that summer. LVRE would provide the capital to restore the line to operating condition, while Santa Fe Southern would operate the trains.
End of regularly scheduled passenger excursion trains
On September 26, 2014, despite a reportedly successful first summer, LVRE informed the Santa Fe Southern that they would be terminating the operation, effective on the 29th. Those who had purchased tickets for future excursion trains were informed that their trains were cancelled, and received refunds. Remaining freight operations were also suspended. Santa Fe Southern officials commented that they were unsure when the railroad would resume operations, and at the present time the railroad is still shut down for regularly scheduled passenger excursions, although it is still running private charter events, Private Varnishes, and the occasional movie or TV film shoot. On May 18th, 2020, It was reported that three partners, Bill Banowsky, George R. R. Martin, and Catherine Oppenheimer have bought the railway and trains and plan to revive operations.