Vilnius railway station redevelopment signed with Zaha Hadid Architects for €8.8 million

Key facts

• LTG group signed an €8.8 million (incl. VAT) contract with Zaha Hadid Architects on April 20.
• The contract includes a four-year deferral period to secure financing, including possible EU subsidies.
• The project will build a 9,500 sq m structure over platforms and tracks, connecting Naujininkai, Naujamiestis, and Senamiestis.
• Vilnius municipality signed a separate €4.9 million contract with Zaha Hadid Architects in September 2025 for the station square and public transport terminal.
• Municipality's part targets completion of construction by Q3 2029.
• LTG board and Transport Ministry approved the contract signing in December 2024.
• Initial timeline for project preparation was delayed from Q3 2023 to Q2 2024 due to the war in Ukraine.

A landmark contract with a four-year financing window

Lithuania's state-owned railway group LTG has signed an €8.8 million (including VAT) contract with British architecture firm Zaha Hadid Architects to redevelop Vilnius's central railway station. The agreement, signed on April 20, includes a four-year deferral period during which LTG will seek to secure project financing, including a potential European Union subsidy. “A project of this scale can only be implemented by the LTG group after ensuring sustainable funding sources,” the group said in a statement. The group noted that its current investments are directed toward priority state projects such as the European-gauge Rail Baltica railway, military mobility enhancement, and infrastructure modernization. The Vilnius Connect project will be developed in stages, seeking external financing opportunities and ensuring responsible investment allocation.

A split project: LTG and municipality go separate ways

The Vilnius Connect project was originally a joint effort between LTG and the Vilnius municipality, but after failing to reach a consensus on design last year, the project was split into two parts. The municipality signed its own €4.9 million (including VAT) contract with Zaha Hadid Architects in September 2025 for the first phase: designing the station square, its surroundings, and a public transport terminal. Under the municipal contract, the architect will prepare design proposals and a technical working project within 18 months, obtain a construction permit, and supervise the entire construction process. A contractor tender will follow, with construction completion targeted for the third quarter of 2029.

A structure to bridge divided neighborhoods

The centerpiece of LTG's plan is a 9,500 square meter structure built over the platforms and railway tracks, designed to physically connect the Naujininkai district with Naujamiestis and Senamiestis. The building will house commercial spaces and a new passenger waiting hall with direct access to the platforms. Pedestrian and cycling connections are planned above the tracks. On the western side of the station square, the municipality's plan includes a public transport terminal built under an artificial hill. The hill will be shaped as a green amphitheater, serving as a leisure and meeting space, while inside the hillock will house an intercity bus ticket office and the public transport terminal. The terminal will be adapted for intercity and international bus services, with reorganized car park access.

Uncertain financing and a history of delays

The project's financing remains uncertain. In January, the Transport Ministry stated that no funding sources had been allocated for either the station's design or reconstruction. The ministry said it is considering possible alternatives and evaluating opportunities under the new 2028–2034 EU financing period. LTG group representative Sandra Trinkūnaitė-Rimkienė told BNS in January that the exact reconstruction cost will be known once the technical project is prepared. Last spring, LTG's asset management services manager Raimonda Gaidelionienė estimated the construction cost at around €100 million, as reported by Verslo žinios. The project has already faced delays: originally expected to begin preparation in the third quarter of 2023, the timeline was extended to the second quarter of 2024 due to the war in Ukraine, LTG announced it was considering developing the project through a concession, and a feasibility study for Vilnius Connect was initiated.

Multiple financing scenarios under consideration

LTG is analyzing various scenarios for the project's progression, including public-private partnerships, EU funding, and alternative financing sources. The four-year deferral period in the contract with Zaha Hadid Architects gives the group time to secure the necessary funds. The LTG board and the Transport Ministry approved the contract signing last December. The group emphasized that it can only implement such a large-scale project if sustainable funding sources are guaranteed. The phased approach allows LTG to seek external financing while maintaining investment in other state priorities.

A transformative project with open questions

The Vilnius Connect project promises to transform the city's central railway station into a modern transport hub that reconnects neighborhoods long divided by the railway corridor. However, the lack of committed financing and the split between LTG and the municipality raise questions about coordination and overall timeline. While the municipality's part has a clear deadline of 2029, LTG's portion remains contingent on funding. The four-year deferral period suggests that construction may not begin until after 2028, potentially aligning with the next EU budget cycle. The project's ultimate cost and completion date remain uncertain, but the signing of contracts with a world-renowned architecture firm marks a significant step forward.

The bottom line

• LTG signed an €8.8 million contract with Zaha Hadid Architects for the Vilnius railway station redevelopment, with a four-year financing deferral.
• The project is split: LTG handles the station building, while the municipality separately contracts for the square and bus terminal (€4.9 million, completion by Q3 2029).
• A 9,500 sq m structure over tracks will connect three city districts, with commercial spaces and a waiting hall.
• Financing is not yet secured; LTG considers EU subsidies, PPP, and other sources, with exact cost unknown until technical design.
• The project has been delayed since 2023 due to the war in Ukraine and lack of consensus between LTG and the municipality.
• The Transport Ministry has no allocated funds for design or reconstruction, relying on future EU budget cycles (2028–2034).