 "Secondary airports in metros trigger hospitality boom")
New airports like the Navi Mumbai International Airport (NMIA) and the upcoming Noida International Airport (NIA) are triggering a hospitality boom as hotels start establishing presence near them, helping close the existing gap between branded room demand and supply.
With NMIA’s operations commencing on Christmas Day, the area is set to witness a significant boost in economic activities, with the hospitality sector set to benefit from an increase in Meetings, Incentives, Conferences, and Exhibitions (MICE) activities, Motilal Oswal wrote in a December 2025 note.
Located in the heart of Navi Mumbai, NMIA is close to major commercial and corporate hubs and enjoys a proximity to vacation destinations like Lonavala.
“Hospitality business is largely untapped in Navi Mumbai, with a supply of only 1,539 keys by major hotel operators,” the note stated, adding that the area is now drawing more hotel players.
Samhi has announced its largest hotel in Navi Mumbai with a total of 700 keys and an estimated capex of ~6.5 billion over the next three-four years. The Radisson Hotel Group, in partnership with Hill Crest Hotels and Resorts, has announced the signing of a 350-key hotel, set to commence operations from 2030, the brokerage pointed out.
Lemon Tree, Chalet, and Park hotels have also planned developments in the area with over 400, 280, and 250-key properties, respectively, it added.
“Around Navi Mumbai, multiple hotel and mixed-use developments are taking shape alongside the planned Aerocity, with projects such as large-format, branded business hotels being planned to cater to corporate travel, events, and transit demand,” said MP Bezbaruah, secretary general, Hotel Association of India.
Meanwhile, areas near the upcoming NIA, which is set to open this year, are also attracting hoteliers.
Delhi-based Bird Group’s hospitality arm, Roseate Hotels & Resorts, is developing a new smart luxury hotel, spread across a 2.6-acre site, with 246 rooms and a 10,000 sq ft banquet facility.
“New airports act as catalysts for entirely new hospitality markets, driving demand not just from transit passengers but also from airlines, MICE traffic, cargo-linked businesses, and the larger airport ecosystem. As aviation infrastructure expands, hotels around these hubs become gateways to emerging economic corridors,” said Kush Kapoor, chief executive officer at Roseate Hotels & Resorts.
Traditionally airport-led business travel and transit demand have been key drivers of double-digit growth in revenue per available room (RevPAR), Gaurav Singh, chief operating officer at Chalet Hotels told Business Standard, adding that full operations starting at NIA are anticipated to turn the Yamuna Expressway-Greater Noida area into a significant hospitality micro-market.
The country’s largest hospitality chain Indian Hotels (IHCL) in December announced the signing of a Taj hotel and Taj-branded residences along the Noida-Greater Noida expressway, featuring 150 rooms and 74 luxury residences.
“With passenger traffic expected to reach over 620 million by FY30, India's operational airports have expanded, directly supporting hotel demand throughout metro areas and neighbouring areas. Aerocity-style ecosystems, such as business parks, conference centers, and logistics hubs are created by new airports,” Singh added.
NIA is positioned to become a major gateway for the National Capital Region and western Uttar Pradesh.
“We are witnessing the birth of the ‘Aerotropolis’, where the airport serves as the heart of a self-sustaining city. At Royal Orchid and Regenta Hotels, we see these locations as the future of high-growth hospitality. These regions are no longer just transit points but are becoming destinations for corporate headquarters, massive exhibition centers, and logistics hubs,” said Arjun Baljee, president, Royal Orchid Hotels.
While decongesting overburdened primary hubs such developments clearly create an influence beyond aviation, while acting as catalysts of a structural change within the entire industry.
“New airports often end up acting as drivers for entirely new hotel markets. Airport hotels have outgrown their role as mere stopovers between flights and are emerging as high-value destinations, attracting hotel brands, investors, and developers as integrated hubs where work, leisure, and connectivity come together,” said Anshuman Magazine, chairman and CEO – India, South-East Asia, Middle East & Africa at real estate services firm CBRE.
Global precedents such as Heathrow and Gatwick in London, JFK and LaGuardia in New York, and Haneda and Narita in Tokyo show how airports can anchor large-scale urban and economic expansion, while also enabling growth of allied sectors like hospitality.
“Going forward, more secondary airports are likely to come up in cities where existing airports are operating close to saturation. Although, the success of these projects will depend on airline interest, environmental approvals, and the strength of local demand,” Magazine added.
Beyond the runway
- Current supply near NMIA limited to 1,539 keys
- Samhi, Radisson, Lemon Tree have announced new hotels near NMIA
- Roseate building 246-key smart luxury hotel near NMIA
- Transit demand drives double-digit RevPAR growth for hotels
