GMR Airports Ltd (GAL) is accelerating efforts to build real estate into its third major growth platform, alongside its core airport and non-aeronautical businesses, as multiple commercial projects progress at Delhi Aerocity.
Speaking during the company’s earnings call, management said the group remains focused on long-term growth despite near-term challenges, while aggressively optimising revenue streams and enhancing asset utilisation across its airport network.
Focus remains on long-term growth
The company said it is navigating the next two quarters with “strict discipline,” while working closely with airlines to maximize airport asset utilisation and drive non-aeronautical revenues.
Management emphasised that its long-term strategy remains unchanged, noting that the company is positioning itself for the next decade of India’s growth rather than focusing solely on short-term market conditions.
The company also highlighted strong momentum in its adjacency businesses as it advances its ambition of transforming GAL into a scaled consumer platform backed by resilient airport utility operations.
Real estate emerges as third business platform
GMR Airports said it is now actively building its third business platform around real estate development.
The company expects to hand over its first self-developed commercial office building at Delhi Aerocity during FY27. Management said pre-leasing discussions for the project are already underway.
“As articulated many times in the past, like we have built our second platform of business which is the non-aero business, we are very much focused on building our third platform which is the real estate development business,” management said during the call.
Three major Delhi projects under execution
The company outlined three significant real estate developments currently underway in Delhi. A 400-key hotel project, pre-leased to Chalet Hotels, is expected to be ready for handover during the current financial year.
An office building in Aerocity is also under construction and is scheduled for completion towards the end of the year.
In addition, construction has recently commenced on a hospital project that has already been leased to a client. The development will span approximately one million square feet of built-up area.
For FY27, the company expects total capital expenditure related to these developments to be around Rs 450 crore.
Noida airport unlikely to dent Delhi passenger traffic
Addressing concerns around the upcoming Noida International Airport, management said it does not expect airlines to shift slots from Delhi Airport to Noida in any meaningful way.
According to the company, the new airport is likely to generate its own passenger demand rather than cannibalize traffic from Delhi.
Management drew parallels with its experience in Goa, where the introduction of a second airport expanded overall traffic rather than redistributing existing demand.
However, the company acknowledged that cargo traffic could see some impact, given the strong presence of agriculture and automobile industries in the Noida region, which could support cargo growth at the new airport.
Non-aero revenue optimisation continues
Alongside infrastructure expansion, GMR Airports said it continues to focus on maximising non-aeronautical revenue streams, which have become an increasingly important contributor to profitability.
Management indicated that disciplined execution across airports, commercial development and consumer-facing businesses will remain central to the company’s growth strategy in the coming years.