Adani Plans ₹20,000 Crore Urban Expansion Around Airports.

Adani Airports is planning a major strategic shift, announcing a ₹20,000 crore ($2.4 billion) investment into multi-phase, city-side developments to diversify its business and reduce reliance on aeronautical revenue. According to top executives, nearly 70% of this capital is earmarked for projects at the Mumbai and Navi Mumbai airports.

The ambitious plan aims to increase the share of non-aeronautical businesses—such as retail, hospitality, and commercial spaces—to 70% of total revenue by 2030, a significant jump from the industry's current average of 50%. This new focus is designed to build a more resilient and sustainable business model.

"Right now, our revenue is about 50% aero and 50% non-aero," said Arun Bansal, CEO of Adani Airports. "But by 2030, I expect aero revenue to drop below 30%, with non-aero including city-side developments making up around 70% of our total revenue."

Navi Mumbai to Be a "Walkable Business District"

The centerpiece of this development is a 240-acre land parcel at the Navi Mumbai International Airport, which is scheduled to begin its first phase of operations this October. Amit Grover, CEO of City Side Development at Adani Airports, described the project as a "walkable business district" that will integrate hospitality, retail, and office spaces.

The first phase of the Navi Mumbai project, covering 50 acres, is projected to be completed by 2031. It will feature a commercial ecosystem with five hotels totaling 1,000 rooms, a shopping mall, and three office towers. While standalone residential units are restricted, a limited number of service apartments will be available as extensions of the hotel properties.

This model draws inspiration from successful global airport cities such as Schiphol in Amsterdam, Zurich’s “The Circle,” and Sydney Airport, which have all created dynamic, mixed-use hubs.

Record Revenue and Strategic Funding

Adani Airports, the third-largest revenue contributor to Adani Enterprises, reported an income of ₹2,715 crore in the first quarter of fiscal 2026, marking a 25% year-on-year increase. The company attributed this growth to "higher volume and non-aero income," reflecting the early success of its diversification efforts.

In June, Adani Airports Holdings raised $750 million through external commercial borrowings to refinance debt and support the expansion of non-aeronautical businesses. The company is currently in discussions with "top five hospitality chains" to manage the new properties, though specific names have not been disclosed.

While development at the existing Mumbai airport is limited by the Airports Authority of India Act, the concession agreement for the Navi Mumbai site provides a more favorable starting point for this ambitious city-side development.