The Matheran Hill Railway covers a distance of 20 kilometers (12 mi) between Neral and Matheran in the Western Ghats.

The construction of the Matheran Hill Railway was led by Abdul Peerbhoy and was financed by his father, Sir Adamjee Peerbhoy of the Adamjee Group. The route was designed in 1900, with construction beginning in 1904 and completed in 1907. The original tracks were built using 30 pound per yard rails but were later updated with heavier 42 pound per yard rails. Until the 1980s, the railway was closed during monsoon season due to increased risk of landslides, but it is now kept open throughout the year. The line is administered by Central Railways.

A unique feature of the line is its horseshoe embankments. Notable features of the route include Neral Station, the first on the route; the Herdal Hill section; the steep grade of Bhekra Khud; the One Kiss Tunnel (the only tunnel on the route, it earned its nickname because the tunnel is just long enough to exchange a kiss with one's partner); a water pipe station, which is no longer in operation; Mountain Berry, which features two sharp zigzags; Panorama Point; and finally, the end of the route at Matheran Bazaar. The broad-gauge railroad between Mumbai and Pune runs near the Matheran Hill Railway, and the two tracks cross each other at two locations. The ruling gradient for the railroad is 1:20 (5%) and tight curves require train speeds to be limited to 20 kilometres per hour (12 mph).