Silver Diner has been a fixture at BWI since 2007. Now it’s fighting to keep its prime location.

When Cindi Callaway and her husband made it through security at Baltimore-Washington International Thurgood Marshall Airport on a recent morning, they looked at each other, nodded and headed for Silver Diner.

The couple stop at the blue-, red- and silver-clad retro eatery every time they fly out of BWI, which is three to six times per year, Callaway said. She often gets eggs, something protein heavy to fill her up ahead of the flight, and cold-brew coffee. Her husband will order pancakes or sausage gravy on a biscuit.

“No matter where our gate is in that terminal, we will still go there because, in the terminal, it’s the best-quality food,” said Callaway, 63, of southern Anne Arundel County. “It’s not fast food, yet they get you out in a really efficient time.”

Callaway didn’t realize until she got home that Silver Diner is locked in a legal fight with Fraport, BWI’s concession management company, to stay at the airport.

Fraport is seeking the demolition and replacement of the restaurant at a cost of $8million to $10 million. Silver Diner officials argue it doesn’t make sense to pony up $10 million for a 10-year lease and that this was not part of any agreement between the companies or with the state.

Silver Diner sued Fraport last month, asking a judge to uphold a previously agreed-upon $1.5 million renovation and to bar Fraport from seeking another tenant for the space amid the legal fight. It is also asking for compensatory damages.

The outcome could affect the future of independent restaurants — and food prices for travelers — at BWI, Silver Diner representatives said.

“Do you want to pay $25 for a cheeseburger instead of $18?” said Robert Giaimo, the co-founder and chairman of Silver Diner. “We’re not fighting just for us. We’re fighting for everybody.”

Cathy Simoni, a spokesperson for Fraport USA, said in a statement, “We will vigorously defend against these claims and address the allegations in the appropriate forum.”

Comfort food for on-the-go travelers

The first Silver Diner, an ode to the stainless steel-clad diners popular in the 1950s and 1960s, opened in Rockville in 1989. Since then, diners in the District of Columbia, Maryland, Virginia and New Jersey have filled the red leather booths of the chain’s two dozen locations. The restaurant opened with fanfare at BWI in 2007.

Fraport is a Germany-based airport concession management company that’s worked with BWI since 2004. The company recently won a bid to manage retail concessions at the airport for the next 23 years. Other major airports served by Fraport include Reagan National and Dulles International, JFK International in New York and airports in Cleveland; Nashville, Tennessee; and Newark, New Jersey.

In a lawsuit filed in September, Silver Diner accused Fraport of breach of contract and negligent and fraudulent misrepresentation.

Silver Diner officials said they met with Fraport executives over several months in 2022 to develop a proposal that included a new design of the restaurant, said Kyle Rudich, the restaurant’s director of airport development.

The plans stalled as the Maryland Aviation Administration sought a new concessions management company for BWI, ultimately renewing its ties with Fraport.

Silver Diner and Fraport officials had agreed on renovations, including a new entrance, seating and flooring, which would cost $1.5 million to $4 million, Rudich said. But Fraport got new leadership that asked for a costly makeover of the restaurant, which Silver Diner officials said would force them to close, he added.

“That’s where the problems came,” Rudich said. “For a 10-year contract, to spend $10 million doesn’t make business sense. We would never get our money back. We’d never make a penny.”

Silver Diner officials alleged Fraport executives told them the demolition was dictated by their agreement with the state and recommended the company partner with a concessionaire for the funding. State officials denied this, according to diner representatives.

Giaimo believes Fraport made the switch in a bid to bring a concessionaire-operated restaurant into Silver Diner’s space, which he said would raise prices and generate more money for the concession management company.

“Fraport USA categorically rejects the claims asserted in the pending litigation as unfounded and without merit,” Simoni said. “We have complied, and continue to comply with all contractual obligations, and have acted in good faith at all times.”

State officials value all vendors and service providers, said David Broughton, a spokesperson for the Maryland Department of Transportation.

He said the department supports Fraport’s efforts to enhance convenience and create a positive travel experience for the more than 25 million passengers who pass through the airport every year.

Giaimo wants state officials to require Fraport to have an independently run restaurant, not a concessionaire-operated one, in the space.

Sure, it would help Silver Diner, but Giaimo also argues that reserving the space for an independent company would keep prices affordable for travelers.

‘Losing that would be detrimental’

Not everyone is sold on Silver Diner’s argument that it offers more affordable dining choices.

Natasha Ledwich, 26, said she has been to Silver Diner at BWI twice in the four years she’s worked as a flight attendant there, mostly because she believes the prices are too high.

“It was like $12 for a milkshake, and I was like, ‘holy crap,’” she said. “It was like sticker shock. … I think I just left. I don’t think I got it.”

Ledwich, who lives in Germantown, said she has had good experiences at other Silver Diners. She’ll typically treat herself to a milkshake, and she said the costs are lower outside BWI.

If Silver Diner at BWI closes, Ledwich hopes whatever replaces it is more affordable.

Other customers are fine with the prices.

Crystal Tennessee, a White Marsh resident who primarily travels out of BWI, said she and her husband routinely stop at the diner when they use the airport. She said the restaurant has high-quality and affordable food, top-tier customer service and an accommodating operating schedule.

“The thing that I love the most about that diner is the fact that it breaks up the monotony of the regular fast-food meals that you would get there,” Tennessee said. “Losing that would be detrimental to the entire airport.”

‘I, personally, feel pretty scared’

Giaimo said the lawsuit is not just about the future of Silver Diner but other independent restaurants there. Phillips Seafood and Obrycki’s are among the other Maryland-based eateries at BWI.

The standoff concerns some of Silver Diner’s 120 employees at BWI.

“A lot of people are worried about their jobs. This is their main income,” said Josue Melgar, who manages the restaurant. “I, personally, feel pretty scared about what’s going to happen.”

In addition to going to court, Silver Diner officials have launched a public campaign to encourage customers to email state aviation officials to take action to prevent their closure.

Nearly 1,900 people have sent emails, company officials said. Callaway said she was considering sending one, too.

“It’s been a part of Marylanders’ lives for decades,” she said. “And it would be a damn shame to lose them from the airport.”