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Silver Diner sues over $10M renovation demand at Baltimore airport

Silver Diner is suing to keep its restaurant at Baltimore-Washington International Thurgood Marshall Airport.

The Maryland-based restaurant chain filed a lawsuit against airport concessions manager Fraport USA, alleging breach of contract and fraudulent misrepresentation.

Silver Diner claims Fraport demanded an $8 million to $10 million rebuild as a condition of renewing its lease.

The lawsuit alleges the requirement could jeopardize the diner's future at BWI. Silver Diner is asking a court to enforce a 10-year sublease that would allow the restaurant to continue operating at the airport.

Silver Diner has operated at BWI since 2007.

"As a Maryland-owned business since 1989, we are truly honored to play such a vital and time-honored role in the BWI passenger experience," said Silver Diner Chairman Robert T. Giaimo. "Maryland is our home and we remain grateful for the opportunity to support good-paying jobs, generate economic activity and revenue, and further enhance our state's reputation as one of America's great travel destinations. Our successful partnership with the State of Maryland is now in danger."

According to the lawsuit, a 2022 Collaboration Agreement stated that if Fraport was awarded the BWI concessions management contract, it would enter into a sublease with Silver Diner to ensure the restaurant's continued operation at the airport.

In exchange, Silver Diner agreed to develop plans for a "Silver Diner 2.0," which would include a complete renovation of the dining area, including a new storefront, finishes, furniture, booths, tables, chairs, countertops, ceiling tiles and lighting.

The lawsuit alleges that after Fraport was awarded the concessions contract, it unilaterally imposed a new "Gutting Requirement" that included a complete rebuild of the kitchen and other work that Silver Diner says was not included in the Collaboration Agreement.

The agreement, according to the lawsuit, focused exclusively on renovations to the customer dining area.

Silver Diner alleges the additional requirements would increase the cost of the renovation from a minimum of $1.5 million to between $8 million and $10 million.

The restaurant claims the project would require it to close for at least a year, potentially putting about 120 local jobs at risk.

CBS News Baltimore reached out to Fraport for comment but has not received a response.

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