LAS VEGAS — A California company with visions of building a futuristic transportation system to one day zip people and packages at nearly the speed of sound announced Tuesday it is building a test facility in southern Nevada.

Hyperloop Technologies Inc. and the Nevada governor’s office said the 50-acre facility at a fledgling North Las Vegas business park will test a linear electric motor at speeds up to 335 mph – about half the speed envisioned in a full-scale system.

“This decision represents another major milestone in our journey to bring Hyperloop to commercial reality,” Rob Lloyd, CEO of the Los Angeles-based company, said in a statement.

The cost of the so-called Propulsion Open Air Test wasn’t disclosed. The company said it has raised $37 million from investors and expects to obtain $80 million more in bond financing.