The arrival of trains led increased tourism to the area, and the railway company was instrumental in the creation of the Grand Canyon Village to serve guests.

The entire Grand Canyon Railway has been added to the National Register of Historic Places, recognizing the contribution the train has made to the history of the United States.

In 1901, the Atchison, Topeka and Santa Fe Railway completed a branch line from Williams to Grand Canyon Village at the South Rim.

To accommodate travelers, the Santa Fe designed and built the El Tovar Hotel, located just 20 feet (6.1 meters) from the Canyon Rim.

[3] In conjunction with the startup, the Biegerts were principal investors in the short-lived Farwest Airlines, an air taxi service operating a DHC Dash 7[4] that was intended to bring tourists from California, Las Vegas and Phoenix to Flagstaff where the passengers would then take the rail line.

In the early 1990s, the Grand Canyon Railway purchased a fleet of 1950s-era ALCO FA Diesel-electric locomotives, featuring an iconic "snub nose" design.

In 1996, the railway boosted their steam roster by rebuilding a 2-8-2 mikado; former Chicago Burlington and Quincy 4960, a locomotive with a long history of excursion service.

On September 21, 2006, it was announced that Xanterra Travel Collection, submitted the winning bid (for an undisclosed sum) and was selected as the new owner for the Grand Canyon Railway.

The purchase of the GCR included all of the railway's assets, depots, hotels, RV park, rolling stock, shops and the land on which the 65-mile (105 km) line operates over.

The railroad adds to the Old West experience by having actors dressed as bandits stage a mock train robbery during the return trip from the Grand Canyon to Williams.

[14] During the winter season (November – January), the line runs The Polar Express from Williams to the 'North Pole', a station about 17 miles (30 km) north of town.

The entire Grand Canyon Railway has been added to the National Register of Historic Places for being associated with events that made a significant contribution to the broad patterns of the history of the United States.

In the nomination to the register, the railroad was credited with, "Opening up of a large area north of Williams, the building of the Grand Canyon National Park facilities at the south rim, establishment of a solid tourist trade in the American Southwest, support of cattle and sheep ranching, copper and uranium mining, lumber industries, and the building of a sub culture around the railroad that continues to this day.