Colorado Politics

Denver International Airport settles termination with contractor at nearly $184M

Following a seven-month breakup, the contract gone awry between Denver International Airport and the contractor hired to renovate the airport’s Great Hall is officially terminated – at the price tag of $183.6 million.

The airport finalized its last payment to the former developer, Great Hall Partners, for $55.5 million, which was detailed in an agreement filed Friday by DIA. The amount is coupled with roughly $128 million paid by the airport in December.

The deal, which allotted $650 million to renovate the Great Hall terminal, was called off last summer by DIA officials and Denver Mayor Michael Hancock due to mounting costs and delays.    

Great Hall Partners said in a statement in August that the delays were caused primarily by a discovery of weak concrete as well as “more than 20 large-scale, badly timed and unnecessary change directives issued by (airport officials) to the design they had previously approved.

“We are disappointed with (the airport’s) decision and strongly disagree with their characterizations of how we have arrived at this point,” the statement read. “We categorically reject their allegations around safety and change directives.”

Airport officials say the total payout falls within the range of $170 million to $210 million that the airport budgeted for the termination.

Earlier this month, DIA resumed construction of the Great Hall Project with a new developer, Hensel Phelps. The company was hired for $195 million to take over the project, which is now three years behind schedule.

Hensel Phelps will help move the airport’s security screening checkpoints up to Level 6, roll out new screening technology to make the process “more efficient,” and consolidate airline ticket counters, along with other “passenger-focused” renovations.

The entire Great Hall Project, which is expected to be finished in 2024, is intended to heighten security, improve airport operations and increase DIA’s capacity to serve 80 million passengers.

The original budget for the project has been left unchanged, at $770 million, according to airport CEO Kim Day. That figure includes a $120 million contingency fund.

B concourse at Denver International Airport.
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