Navi Mumbai International Airport poised to drive real estate growth

Real estate near the Navi Mumbai International Airport (NMIA) is poised for substantial growth as developers are of the opinion that the Navi Mumbai Airport Influence Notified Area (Naina) as well as enhanced connectivity to the region would propel demand in the sector.

 

The airport — worth $2.1 billion — is expected to be inaugurated in June this year.

 

Naina, a well planned city spanning 371 sq km, will be developed across 170 villages in Panvel, Pen, and Uran in Raigad district.

 

Once developed, it will be a hub for trade, technology, and other industries with ₹14,000 crore allocated for infrastructure development in the region. 

 

“Upon completion in 2025, NMIA will connect Navi Mumbai globally, leading to an influx of visitors, talent migration, corporate establishments, and trade setups. Industrial warehousing, e-commerce, residential, retail, and commercial real estate will benefit from this growth, bolstered by favourable government policies and reforms,” said Niranjan Hiranandani, chairman – Hiranandani Group and Naredco.

 

Naina’s proximity to NMIA, India’s largest state-run port authority Jawaharlal Nehru Port Authority (JNPA) and its special economic zone (SEZ), as well as the Mumbai Trans Harbour Link (MTHL), which is India’s longest sea bridge connecting Mumbai to Navi Mumbai, among others, would draw realtors to the area.

 

Vinod Rohira, managing director (MD) and chief executive officer (CEO), K Raheja Corp, said Navi Mumbai’s transformation was being driven by major infrastructure developments like the new airport and the MTHL, which has brought Mumbai within a 20-minute reach.

 

“That kind of access is reshaping demand — residential projects are seeing much greater demand due to Navi Mumbai’s growing appeal as a place to live and work. Also, commercial leasing activity is seeing strong growth, driven by IT, banking, financial services and insurance (BFSI), and data centres,” he said. According to him, retail and hospitality will come next. 

 

The average residential property rates in Navi Mumbai increased by 23 per cent year-on-year (Y-o-Y) in 2024, to ₹10,810 per square foot (psf).

 

Experts at Anarock believe that this rise coincides directly with progress on the NMIA and supporting infrastructure developments.

 

The vicinity of the airport has attracted established real estate players, including Godrej Properties, Hiranandani Group, K Raheja Corp, Panchshil Realty, and Arihant Superstructures.

 

Godrej recently acquired three contiguous land parcels on lease from CIDCO in Navi Mumbai’s Kharghar for ₹716.58 crore.

 

Gramercy Info Park, a firm affiliated with Panchshil Realty — a Pune-based builder — bought land parcels worth ₹614.99 crore in Navi Mumbai’s Ghansoli area, reportedly for a data centre.

 

Residential property prices in Ghansoli have gone up by 13 per cent quarter-on-quarter (Q-o-Q) in the first quarter of 2025 to ₹16,199 psf, while the prices in Kharghar during the same period appreciated by 18 per cent to ₹12,295 psf, according to MagicBricks.

 

Key markets in the airport’s vicinity, including Kalamboli, Kamothe, Kopar Khairane, Nerul East, Seawoods, Panvel, Sanpada, Ulwe, Uran, and Vashi, have seen significant growth in residential property prices in Q1 CY25, on a Q-o-Q basis. 

 

“Developers are strategically launching premium residential and commercial projects that capitalise on the anticipated economic boom. Many are acquiring land parcels in strategic locations near infrastructure nodes and designing integrated townships,” said Prashant Thakur, regional director & head – research, Anarock Group.

 

“Additionally, there's a notable shift towards creating mixed-use developments that combine residential, retail, and office spaces to maximise value and cater to the expected influx of professionals once the airport becomes operational,” Thankur added.

 

The surge in development has raised concerns of infrastructure constraints, chiefly transportation networks and utilities, which may not keep up with the pace of growth. This can lead to congestion and service inadequacies.

 

Further, long gestation period of infra projects and affordability concerns amid rapid appreciation of property prices, can risk pricing out middle-income buyers who initially viewed Navi Mumbai as an accessible alternative to Mumbai.

 

“Environmental sustainability presents another significant challenge, as development pressures threaten ecologically sensitive areas, including mangroves and wetlands. Finally, there's the risk of oversupply in certain segments as developers rush to capitalise on the growth narrative, potentially leading to absorption challenges and price corrections in specific micro-markets. This will happen if demand fundamentals don't keep pace with aggressive supply expansion,” said Thakur.

 

Meanwhile, Hiranandani believes that the challenges, such as inadequate land records, inflated land values, lack of consent from landowners, and issues related to fair compensation and rehabilitation, persist. 

 

“The presence of multiple nodal and government agencies further complicates the process, impacting project viability,” he added.