German property company IVG and Fraport, the operator of Frankfurt airport, have terminated the construction contract with Alpine Bau Deutschland for the Airrail centre at Frankfurt airport.
“It became necessary to terminate the contract in order to ensure commercial success and to meet the deadlines agreed with the future tenants,” IVG said.
IVG and Fraport have hired another construction company.
Earlier this year, IVG put the €600m Airrail project up for sale. Airrail is expected to be completed by the end of 2009.
So far, the 140,000 m2 development has not been sold. Part of the problem is that IVG does not own the land. Airrail is built on the 660m-long roof of the ICE train station at the airport.
The project is 50% prelet to hotel operator Hilton, KPMG and the Metropolitan Medical Centre, among others.
