In 1862 Neilson established a new locomotive works in Springburn, mid-way between the existing Cowlairs Works of the E&G and the Caledonian Railway's St Rollox Works. The name "Hyde Park" derived from the location of the original Finnieston works. Neilson soon fell out with his current manager, Dübs, and re-appointed Reid in 1863; the partnership did not however last long, and in 1876 the Hyde Park Locomotive Works was left under the sole control of Reid, with Neilson starting an unsuccessful rival enterprise, the Clyde Locomotive Company, across the tracks of the City of Glasgow Union Railway from the Hyde Park Works. Despite Neilson's departure, the name "Neilson, Reid and Co" was retained for the Hyde Park Works.

This 4-8-0 locomotive was built in 1900 for the Central South African Railway, and on formation of South African Railways was classified as Class 7B no 1056. It is still active on the George-Knysna line in South Africa. Behind it, almost hidden by steam, is another Neilson Reid product, Class 7A no 1007, built in 1896 for the Cape Government Railway.
In 1903 Neilson Reid combined with Dübs & Co of Queen's Park and Sharp, Stewart (who took over Neilson's ailing Clyde Locomotive Company Works) to form the North British Locomotive Company.
James Reid died in 1894 while trying to knock a golf ball out of a bunker on the course at St Andrews. The company was managed for its last ten years by Reid's sons.