The construction of a 27-km length branch from Punta Alta to Bahía Blanca allowed the company to stimulate passenger and freight traffic. Works were directed by Swiss Engineer Armin Reimman who died short after the line was inaugurated, being replaced by his colleague Lucien Capelle. In 1921 the new terminus was inaugurated, it was placed on Colón Avenue between B. de Irigoyen and Rivadavia streets. The station remained active until 1949 when it was closed, serving as bus terminus since then.