At the turn of the century, the Austrian StEG was one of many railways which were faced with the problem that their four-coupled express locomotives were overwhelmed with the increased train weights. In this case, the class 26 4-4-0 often had to be used double-headed. So the class 36.5 was designed with the 4-6-0 wheel arrangement and a von Borries four-cylinder compound.
The StEG built ten in 1902 and four more in 1904 in their own works in Vienna. They took over the Orient Express and other important expresses from the class 26. After World War I, all 14 got to the BBÖ and were designated class 109. In the following time, they were also used for regular passenger trains. They were retired by 1934. 