Adani Group kick-starts city side development across 8 airports; to develop 655 acres
Adani Airport Holdings Ltd (AAHL) has already commenced Phase-1 of development of city side development at its airports.
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VIJAY SONEJI
The airport arm of Adani Group has kick-started a three-phase development of 655 acres of land holding for city side development across eight airports in India.
“We roughly have around 655 acres across eight airports including Mumbai, Navi Mumbai, Ahmedabad, Lucknow, Jaipur, Guwahati, Bengaluru and Thiruvananthapuram. Our Phase-1 development will be across 114 acres of which roughly 40 per cent or 50 acres will be in Mumbai and Navi Mumbai and the rest 60-65 acres will be in other six airports,” Jugeshinder Singh, Group CFO of Adani Enterprises Ltd (AEL) said during an investors’ call earlier this week.
City side development normally is planned near the airport or terminal boundary and includes development of hotels, retail spaces, convention centres, commercial spaces, offices, food and beverages, entertainment and other development, in line with business needs, associated utilities, facilities and connectivity.
Singh said that Adani Airport Holdings Ltd (AAHL) has already commenced Phase-1 of development of city side development at its airports. “Currently, the major assets in airports (business) that are operational is the Mumbai airport. All the other airports are in various stages of brownfield expansion — be it in Ahmedabad, Jaipur, Guwahati, Lucknow and Navi Mumbai. We expect that Navi Mumbai will have operational clearances around October this year. It will ramp up to its capacity within six months. It is also likely that the second terminal development there (at Navi Mumbai) will commence shortly thereafter,” he added.
Without sharing any details of the capital expenditure that will be incurred behind the city side development projects, Singh said, “In Phase-1 the primary objectives on the city side will be hotels, retail, entertainment and food courts primarily serving the city side population. Phase-2 will have a slightly different rental-retail mix and Phase-3 will have different kinds of retail mix. Broadly speaking, 114 acres is under development in Phase-1.”
Among the incubating businesses, the airports division of AEL reported a 25 per cent growth in income that stood at ₹10,224 crore during the first quarter of FY26. During this period the AAHL served 23.4 million passengers (a growth of three per cent) and 2.8 lakh tonnes of cargo (a growth of four per cent) at its airports.
As in June 2025, AEL has a total consolidated external debt of nearly ₹61,500 crore, of which ₹30,900 crore is in the airport business and ₹14,600 crore is in roads and ₹8,700 crore in the company’s Australia project.
The company officials also felt that “the overall trade instability will last through this year.” The trading instability globally will last and therefore there will be pricing pressure on realisation which we expect to last through the year,” Singh said about the company’s integrated resource management (IRM) business. Slack performance in IRM, commercial mining and new energy ecosystem dragged the consolidated profit margins of AEL by 45 per cent year-on-year during the first quarter of financial year 2025-26.
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Published on August 2, 2025
