diff --git a/src/routing/spatial.rs b/src/routing/spatial.rs
index a9a2e25..d3f1da7 100644
--- a/src/routing/spatial.rs
+++ b/src/routing/spatial.rs
@@ -1,7 +1,7 @@
 //! Zero-erasure spatial index implementation using K-D Trees.
 
 /// 2D point for spatial queries.
-#[derive(Debug, Copy, Clone)]
+#[derive(Debug, Copy, Clone, PartialEq)]
 pub struct Point2D {
     pub x: f64,
     pub y: f64,
@@ -197,7 +197,7 @@ impl<T> KdTree<T> {
 }
 
 /// Segment in 2D space.
-#[derive(Debug, Copy, Clone)]
+#[derive(Debug, Copy, Clone, PartialEq)]
 pub struct Segment {
     pub from: Point2D,
     pub to: Point2D,
@@ -244,88 +244,245 @@ impl Segment {
     }
 }
 
+#[derive(Debug, Copy, Clone)]
+struct BoundingBox2D {
+    min: Point2D,
+    max: Point2D,
+}
+
+impl BoundingBox2D {
+    fn from_segment(segment: &Segment) -> Self {
+        Self {
+            min: Point2D::new(
+                segment.from.x.min(segment.to.x),
+                segment.from.y.min(segment.to.y),
+            ),
+            max: Point2D::new(
+                segment.from.x.max(segment.to.x),
+                segment.from.y.max(segment.to.y),
+            ),
+        }
+    }
+
+    fn union(self, other: Self) -> Self {
+        Self {
+            min: Point2D::new(self.min.x.min(other.min.x), self.min.y.min(other.min.y)),
+            max: Point2D::new(self.max.x.max(other.max.x), self.max.y.max(other.max.y)),
+        }
+    }
+
+    fn distance_squared_to_point(&self, point: &Point2D) -> f64 {
+        let dx = if point.x < self.min.x {
+            self.min.x - point.x
+        } else if point.x > self.max.x {
+            point.x - self.max.x
+        } else {
+            0.0
+        };
+        let dy = if point.y < self.min.y {
+            self.min.y - point.y
+        } else if point.y > self.max.y {
+            point.y - self.max.y
+        } else {
+            0.0
+        };
+        dx * dx + dy * dy
+    }
+}
+
+struct SegmentNode<T> {
+    segment: Segment,
+    data: T,
+    bounds: BoundingBox2D,
+    left: Option<usize>,
+    right: Option<usize>,
+}
+
 /// Spatial index for line segments.
 ///
-/// Uses a K-D Tree on segment centroids, then refines with actual segment distance.
+/// Uses a branch-and-bound K-D tree over segment centroids with exact subtree bounds.
 pub struct SegmentIndex<T> {
-    /// K-D Tree indexed by segment centroid
-    tree: KdTree<(Segment, T)>,
-    /// All segments for brute-force refinement within candidate set
-    segments: Vec<(Segment, T)>,
+    nodes: Vec<SegmentNode<T>>,
+    root: Option<usize>,
 }
 
-impl<T: Clone> SegmentIndex<T> {
+impl<T> SegmentIndex<T> {
     /// Build a segment index from a list of segments with associated data.
     pub fn bulk_load(segments: Vec<(Segment, T)>) -> Self {
-        let items: Vec<(Point2D, (Segment, T))> = segments
+        let mut indexed: Vec<(usize, Point2D)> = segments
             .iter()
-            .cloned()
-            .map(|(seg, data)| (seg.centroid(), (seg, data)))
+            .enumerate()
+            .map(|(i, (segment, _))| (i, segment.centroid()))
             .collect();
-
-        Self {
-            tree: KdTree::from_items(items),
-            segments,
-        }
+        let mut items: Vec<Option<(Segment, T)>> = segments.into_iter().map(Some).collect();
+        let mut nodes = Vec::with_capacity(items.len());
+        let root = Self::build_nodes(&mut indexed, &mut items, 0, &mut nodes);
+        Self { nodes, root }
     }
 
     /// Find the nearest segment to a query point.
     ///
     /// Returns the segment, associated data, projected point on segment, and squared distance.
     pub fn nearest_segment(&self, query: &Point2D) -> Option<(&Segment, &T, Point2D, f64)> {
-        if self.segments.is_empty() {
+        let root = self.root?;
+        let mut best: Option<(usize, Point2D, f64)> = None;
+        self.search_nearest(root, query, 0, &mut best);
+        let (idx, projection, dist) = best?;
+        let node = &self.nodes[idx];
+        Some((&node.segment, &node.data, projection, dist))
+    }
+
+    fn build_nodes(
+        indexed: &mut [(usize, Point2D)],
+        items: &mut [Option<(Segment, T)>],
+        depth: usize,
+        nodes: &mut Vec<SegmentNode<T>>,
+    ) -> Option<usize> {
+        if indexed.is_empty() {
             return None;
         }
 
-        // For small datasets, just brute force
-        if self.segments.len() <= 100 {
-            return self.brute_force_nearest(query);
-        }
+        let axis = depth % 2;
+        indexed.sort_by(|a, b| {
+            let va = if axis == 0 { a.1.x } else { a.1.y };
+            let vb = if axis == 0 { b.1.x } else { b.1.y };
+            va.partial_cmp(&vb).unwrap_or(std::cmp::Ordering::Equal)
+        });
 
-        // Use K-D tree to find candidates, then refine
-        // First, get the nearest centroid as a starting point
-        let nearest_centroid = self.tree.nearest_neighbor_with_distance(query)?;
-
-        // The actual nearest segment might be different from the one with nearest centroid
-        // We need to search within a radius equal to our best distance so far
-        let (seg, data) = nearest_centroid.0;
-        let (proj, _) = seg.project_point(query);
-        let mut best_dist = query.distance_squared(&proj);
-        let mut best_result = (seg, data, proj, best_dist);
-
-        // Check all segments (for correctness; can be optimized with spatial queries)
-        // Since K-D tree on centroids doesn't give us tight bounds, we do a full scan
-        // This is still faster than pure brute force for construction + multiple queries
-        for (seg, data) in &self.segments {
-            let (proj, _) = seg.project_point(query);
-            let dist = query.distance_squared(&proj);
-            if dist < best_dist {
-                best_dist = dist;
-                best_result = (seg, data, proj, dist);
-            }
+        let mid = indexed.len() / 2;
+        let (left_slice, rest) = indexed.split_at_mut(mid);
+        let (mid_item, right_slice) = rest.split_first_mut().expect("not empty");
+        let left = Self::build_nodes(left_slice, items, depth + 1, nodes);
+        let right = Self::build_nodes(right_slice, items, depth + 1, nodes);
+
+        let (segment, data) = items[mid_item.0].take().expect("item already taken");
+        let bounds = BoundingBox2D::from_segment(&segment);
+        let idx = nodes.len();
+        nodes.push(SegmentNode {
+            segment,
+            data,
+            bounds,
+            left,
+            right,
+        });
+
+        let mut bounds = BoundingBox2D::from_segment(&nodes[idx].segment);
+        if let Some(left_idx) = left {
+            bounds = bounds.union(nodes[left_idx].bounds);
         }
+        if let Some(right_idx) = right {
+            bounds = bounds.union(nodes[right_idx].bounds);
+        }
+        nodes[idx].bounds = bounds;
 
-        Some(best_result)
+        Some(idx)
     }
 
-    fn brute_force_nearest(&self, query: &Point2D) -> Option<(&Segment, &T, Point2D, f64)> {
-        let mut best: Option<(&Segment, &T, Point2D, f64)> = None;
+    fn search_nearest(
+        &self,
+        node_idx: usize,
+        query: &Point2D,
+        depth: usize,
+        best: &mut Option<(usize, Point2D, f64)>,
+    ) {
+        let node = &self.nodes[node_idx];
+        let (projection, _) = node.segment.project_point(query);
+        let dist = query.distance_squared(&projection);
 
-        for (seg, data) in &self.segments {
-            let (proj, _) = seg.project_point(query);
-            let dist = query.distance_squared(&proj);
+        match best {
+            Some((_, _, best_dist)) if dist < *best_dist => {
+                *best = Some((node_idx, projection, dist));
+            }
+            None => {
+                *best = Some((node_idx, projection, dist));
+            }
+            _ => {}
+        }
 
-            match &best {
-                Some((_, _, _, best_dist)) if dist < *best_dist => {
-                    best = Some((seg, data, proj, dist));
-                }
-                None => {
-                    best = Some((seg, data, proj, dist));
-                }
-                _ => {}
+        let axis = depth % 2;
+        let centroid = node.segment.centroid();
+        let query_val = if axis == 0 { query.x } else { query.y };
+        let node_val = if axis == 0 { centroid.x } else { centroid.y };
+        let (first, second) = if query_val <= node_val {
+            (node.left, node.right)
+        } else {
+            (node.right, node.left)
+        };
+
+        if let Some(child) = first {
+            self.search_child(child, query, depth + 1, best);
+        }
+        if let Some(child) = second {
+            self.search_child(child, query, depth + 1, best);
+        }
+    }
+
+    fn search_child(
+        &self,
+        child_idx: usize,
+        query: &Point2D,
+        depth: usize,
+        best: &mut Option<(usize, Point2D, f64)>,
+    ) {
+        if let Some((_, _, best_dist)) = best {
+            let child_dist = self.nodes[child_idx]
+                .bounds
+                .distance_squared_to_point(query);
+            if child_dist > *best_dist {
+                return;
             }
         }
 
-        best
+        self.search_nearest(child_idx, query, depth, best);
+    }
+}
+
+#[cfg(test)]
+mod tests {
+    use super::*;
+
+    #[test]
+    fn segment_index_returns_none_when_empty() {
+        let index: SegmentIndex<usize> = SegmentIndex::bulk_load(vec![]);
+        assert!(index.nearest_segment(&Point2D::new(0.0, 0.0)).is_none());
+    }
+
+    #[test]
+    fn segment_index_matches_bruteforce_on_large_input() {
+        let segments: Vec<(Segment, usize)> = (0..256)
+            .map(|i| {
+                let y = i as f64 * 10.0;
+                (
+                    Segment::new(Point2D::new(0.0, y), Point2D::new(5.0, y + 1.0)),
+                    i,
+                )
+            })
+            .collect();
+        let index = SegmentIndex::bulk_load(segments.clone());
+        let query = Point2D::new(2.25, 1234.4);
+
+        let indexed = index
+            .nearest_segment(&query)
+            .expect("expected nearest segment");
+
+        let brute_force = segments
+            .iter()
+            .map(|(segment, data)| {
+                let (projection, _) = segment.project_point(&query);
+                (
+                    *data,
+                    projection,
+                    query.distance_squared(&projection),
+                    *segment,
+                )
+            })
+            .min_by(|a, b| a.2.partial_cmp(&b.2).unwrap_or(std::cmp::Ordering::Equal))
+            .expect("expected brute-force result");
+
+        assert_eq!(*indexed.1, brute_force.0);
+        assert_eq!(*indexed.0, brute_force.3);
+        assert!((indexed.2.x - brute_force.1.x).abs() < 1e-9);
+        assert!((indexed.2.y - brute_force.1.y).abs() < 1e-9);
+        assert!((indexed.3 - brute_force.2).abs() < 1e-9);
     }
 }