Riggenbach and Zschokke also built the rack-and-pinion Arth-Rigi Railway. In 1870, a committee of 12 citizens from Arth obtained the concession from the Schwyz Cantonal Council for the routes between Staffelhöhe and Kulm as well as between Arth, Oberarth and Kulm.
The Arth Company immediately started to tackle the construction of the panoramic route Staffelhöhe - Rigi Kulm. This route was handed to the Vitznau-Rigi Railway company for operation in the summer of 1873. From 1873 until the merger of the two railways in 1992, the Vitznau-Rigi Railway company had to pay ground rent for use of the rail section Staffelhöhe-Rigi Kulm.