diff --git a/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestApp/Program.cs b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestApp/Program.cs
new file mode 100644
index 000000000..ac3163a58
--- /dev/null
+++ b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestApp/Program.cs
@@ -0,0 +1,17 @@
+// Copyright (c) .NET Foundation and contributors. All rights reserved.
+// Licensed under the MIT license. See LICENSE file in the project root for full license information.
+
+using System;
+using System.Diagnostics;
+
+namespace TestApp
+{
+    public class Program
+    {
+        public static int Main(string[] args)
+        {
+            Console.WriteLine(TestLibrary.Helper.GetMessage());
+            return 100;
+        }
+    }
+}
diff --git a/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestApp/project.json b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestApp/project.json
new file mode 100644
index 000000000..419f935a3
--- /dev/null
+++ b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestApp/project.json
@@ -0,0 +1,33 @@
+{
+  "version": "1.0.0-*",
+  "buildOptions": {
+    "emitEntryPoint": true,
+    "preserveCompilationContext": true
+  },
+  "dependencies": {    
+    "Microsoft.NETCore.App": "1.0.1"
+  },
+  "frameworks": {
+    "netcoreapp1.0": {
+      "dependencies": {
+        "TestLibrary": {
+          "target": "project",
+          "version": "1.0.0-*"
+        }
+      }
+    }
+  },
+  "runtimes": {
+    "win7-x64": {},
+    "win7-x86": {},
+    "osx.10.10-x64": {},
+    "osx.10.11-x64": {},
+    "ubuntu.14.04-x64": {},
+    "ubuntu.16.04-x64": {},
+    "centos.7-x64": {},
+    "rhel.7.2-x64": {},
+    "debian.8-x64": {},
+    "fedora.23-x64": {},
+    "opensuse.13.2-x64": {}
+  }
+}
diff --git a/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestLibrary/.noautobuild b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestLibrary/.noautobuild
new file mode 100644
index 000000000..e69de29bb
diff --git a/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestLibrary/Helper.cs b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestLibrary/Helper.cs
new file mode 100644
index 000000000..8c643796b
--- /dev/null
+++ b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestLibrary/Helper.cs
@@ -0,0 +1,24 @@
+// Copyright (c) .NET Foundation and contributors. All rights reserved.
+// Licensed under the MIT license. See LICENSE file in the project root for full license information.
+
+using System;
+
+namespace TestLibrary
+{
+    public static class Helper
+    {
+        /// <summary>
+        /// Gets the message from the helper. This comment is here to help test XML documentation file generation, please do not remove it.
+        /// </summary>
+        /// <returns>A message</returns>
+        public static string GetMessage()
+        {
+            return "This string came from the test library!";
+        }
+
+        public static void SayHi()
+        {
+            Console.WriteLine("Hello there!");
+        }
+    }
+}
diff --git a/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestLibrary/project.json b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestLibrary/project.json
new file mode 100644
index 000000000..48bc772d8
--- /dev/null
+++ b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/TestLibrary/project.json
@@ -0,0 +1,18 @@
+{
+  "version": "1.0.0-*",
+  "buildOptions": {
+    "nowarn": [
+      "CS1591"
+    ],
+    "xmlDoc": true,
+    "additionalArguments": [
+      "-highentropyva+"
+    ]
+  },
+  "dependencies": {
+    "NETStandard.Library": "1.6.0"
+  },
+  "frameworks": {
+    "netstandard1.5": {}
+  }
+}
diff --git a/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/global.json b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/global.json
new file mode 100644
index 000000000..3a4684c26
--- /dev/null
+++ b/TestAssets/TestProjects/TestAppWithLibraryUnderTFM/global.json
@@ -0,0 +1,3 @@
+{
+    "projects": [ "."]
+}
\ No newline at end of file
diff --git a/src/Microsoft.DotNet.ProjectJsonMigration/Rules/MigrateProjectDependenciesRule.cs b/src/Microsoft.DotNet.ProjectJsonMigration/Rules/MigrateProjectDependenciesRule.cs
index d2e346ede..bda537b2c 100644
--- a/src/Microsoft.DotNet.ProjectJsonMigration/Rules/MigrateProjectDependenciesRule.cs
+++ b/src/Microsoft.DotNet.ProjectJsonMigration/Rules/MigrateProjectDependenciesRule.cs
@@ -79,21 +79,46 @@ namespace Microsoft.DotNet.ProjectJsonMigration.Rules
             HashSet<string> migratedXProjDependencyNames,
             ProjectRootElement outputMSBuildProject)
         {
+            if(projectContexts.Any())
+            {
+                MigrateProjectJsonProjectDependency(
+                    projectContexts.First().ProjectFile,
+                    null,
+                    migratedXProjDependencyNames,
+                    outputMSBuildProject);
+            }
+
             foreach (var projectContext in projectContexts)
             {
-                var projectDependencies = _projectDependencyFinder.ResolveProjectDependencies(projectContext, migratedXProjDependencyNames);
-
-                var projectDependencyTransformResults = projectDependencies.Select(p => ProjectDependencyTransform.Transform(p));
-                
-                if (projectDependencyTransformResults.Any())
-                {
-                    AddProjectDependenciesToNewItemGroup(
-                        outputMSBuildProject.AddItemGroup(), 
-                        projectDependencyTransformResults, 
-                        projectContext.TargetFramework);
-                }
+                MigrateProjectJsonProjectDependency(
+                    projectContext.ProjectFile,
+                    projectContext.TargetFramework,
+                    migratedXProjDependencyNames,
+                    outputMSBuildProject);
             }
+        }
+
+        private void MigrateProjectJsonProjectDependency(
+            Project project,
+            NuGetFramework framework,
+            HashSet<string> migratedXProjDependencyNames,
+            ProjectRootElement outputMSBuildProject)
+        {
+            var projectDependencies = _projectDependencyFinder.ResolveProjectDependenciesForFramework(
+                    project,
+                    framework,
+                    migratedXProjDependencyNames);
+
+            var projectDependencyTransformResults = 
+                projectDependencies.Select(p => ProjectDependencyTransform.Transform(p));
             
+            if (projectDependencyTransformResults.Any())
+            {
+                AddProjectDependenciesToNewItemGroup(
+                    outputMSBuildProject.AddItemGroup(), 
+                    projectDependencyTransformResults, 
+                    framework);
+            }
         }
 
         private void AddProjectDependenciesToNewItemGroup(
diff --git a/test/Microsoft.DotNet.ProjectJsonMigration.Tests/Rules/GivenThatIWantToMigrateProjectDependencies.cs b/test/Microsoft.DotNet.ProjectJsonMigration.Tests/Rules/GivenThatIWantToMigrateProjectDependencies.cs
index 59bfab6b7..c077727fb 100644
--- a/test/Microsoft.DotNet.ProjectJsonMigration.Tests/Rules/GivenThatIWantToMigrateProjectDependencies.cs
+++ b/test/Microsoft.DotNet.ProjectJsonMigration.Tests/Rules/GivenThatIWantToMigrateProjectDependencies.cs
@@ -34,7 +34,32 @@ namespace Microsoft.DotNet.ProjectJsonMigration.Tests
             var projectReferences = mockProj.Items.Where(item => item.ItemType.Equals("ProjectReference", StringComparison.Ordinal));
             projectReferences.Count().Should().Be(1);
 
-            projectReferences.First().Include.Should().Be(Path.Combine("..", "TestLibrary", "TestLibrary.csproj"));
+            var projectReference = projectReferences.First();
+            projectReference.Include.Should().Be(Path.Combine("..", "TestLibrary", "TestLibrary.csproj"));
+            projectReference.Parent.Condition.Should().BeEmpty();
+        }
+
+        [Fact]
+        public void TFM_specific_Project_dependencies_are_migrated_to_ProjectReference_under_condition_ItemGroup()
+        {
+            var solutionDirectory =
+                TestAssetsManager.CreateTestInstance("TestAppWithLibraryUnderTFM", callingMethod: "p").Path;
+
+            var appDirectory = Path.Combine(solutionDirectory, "TestApp");
+
+            var projectContext = ProjectContext.Create(appDirectory, FrameworkConstants.CommonFrameworks.NetCoreApp10);
+            var mockProj = ProjectRootElement.Create();
+            var testSettings = new MigrationSettings(appDirectory, appDirectory, "1.0.0", mockProj, null);
+            var testInputs = new MigrationRuleInputs(new[] {projectContext}, mockProj, mockProj.AddItemGroup(),
+                mockProj.AddPropertyGroup());
+            new MigrateProjectDependenciesRule().Apply(testSettings, testInputs);
+
+            var projectReferences = mockProj.Items.Where(item => item.ItemType.Equals("ProjectReference", StringComparison.Ordinal));
+            projectReferences.Count().Should().Be(1);
+
+            var projectReference = projectReferences.First();
+            projectReference.Include.Should().Be(Path.Combine("..", "TestLibrary", "TestLibrary.csproj"));
+            projectReference.Parent.Condition.Should().Be(" '$(TargetFramework)' == 'netcoreapp1.0' ");
         }
 
         [Fact]