The Canarsie Railroad was chartered on May 8, 1906 as a BRT subsidiary (leased to the Brooklyn Union Elevated Railroad) and acquired the line on May 31, 1906. The line was partly elevated, and electrified with third rail on the elevated part and trolley wire on the rest, south of New Lots Avenue. The Long Island Rail Road, which had used the line north of New Lots to access their Bay Ridge Branch, built a new line just to the west. The East New York terminus was extended several blocks along a section of line formerly used for "East New York Loop" service to the Fulton Street Elevated and the Broadway Elevated (now the BMT Jamaica Line), at a point known as Manhattan Junction (now Broadway Junction).