Adani Airports Holdings (AAHL) will monetise real estate equivalent to 485 football fields across each of the eight airports it runs as it looks to boost revenue from non-aeronautical streams.
Airports at Mumbai, Navi Mumbai (upcoming) and Ahmedabad will see development of large commercial spaces built and run in partnership with reputed brands of those sectors. The group also controls airports at Guwahati, Thiruvananthapuram, Lucknow, Jaipur and Mangalore.
Around 640 acres will be available under the City Side Development (CSD) plan, including 420 acres at Mumbai International Airport (MIAL) and Navi Mumbai International Airport (NMIAL), said sources.
A total of 18, three to five star-classified hotels with 4,500 keys will be constructed near the Adani-controlled airports. To give medical tourism a further shot in the arm, a total of six hospitals having 2,200 beds spread over 2.4 million sq ft is also in the works.
Around 4.2 million sq ft, including 2.6 million sq ft of retail space at seven locations, 1.1 million sq ft of food and beverage options across nine zones and 0.5 million sq ft of multiplex area comprising 66 screens will be constructed.
In addition, there will be a total of 5.4 million sq ft of commercial office space and 2.7 million sq ft of space for entertainment purposes which will include aquariums, virtual reality parks and rainforest cafes.
Phase 1 of this plan entails development of 20 million sq ft by 2028.
AAHL’s revenues for FY24 was split equally between aeronautical (landing fees, aerobridge charges, parking charges) and non- aeronautical (duty free, advertisement, car parking, lounges). It is thus keen on increasing the share of non-aero revenues and also from the CSD vertical.
The Navi Mumbai, which is scheduled to be thrown open to public by March, 2025 will play a pivotal role in Adani’s CSD plan with an aerocity on the lines of the Delhi Aerocity being planned.
A mail sent to the Adani group seeking comments remained unanswered at the time of going to press.
AAHL airports control over 50% of India’s top 10 domestic routes, 23% of India air traffic and around 33% of cargo. It served more than 300 million consumers, including 89 million passengers by the end of FY24 and has ambitions to grow to more than 550 million consumers, including 150 million passengers by 2028.
As of FY24 end, AAHL clocked revenues of Rs 1,546 crore, up 17% year-on-year (y-o-y) while profit after tax grew by 359% (y-o-y) to Rs 473 crore, as per data shared in the Adani Enterprises, the parent company’s annual report.