Jewar Airport impact: Will property prices rise further after operations begin?

Commercial flights from Noida International Airport in Jewar mark an important milestone in the development of infrastructure in the National Capital Region. But apart from aviation, there is another important area where the opening of this airport is receiving keen interest – that is in the real estate sector.

Prices of properties along the Yamuna Expressway and Greater Noida belts have witnessed an increase in anticipation of the opening of this airport. According to industry analysts, the next step in the development process would revolve around business and job creation around the airport.

Airport expected to drive broader economic activity

Real estate developers say the impact of Jewar Airport will extend well beyond passenger traffic. Rohit Kishore, CEO of Hero Realty, described the project as a potential "aerotropolis" which is an urban ecosystem built around a major airport that combines residential, commercial, industrial and logistics development.

According to Kishore, the region's availability of large contiguous land parcels offers opportunities for integrated development on a scale that is increasingly difficult to find elsewhere in Delhi-NCR.

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He noted that while Delhi Aerocity evolved into a successful commercial district, Jewar has the potential to become a much larger self-sustaining economic zone.

Hero Realty recently acquired over 18,000 square metres of land in Greater Noida's Sector MU through a GNIDA auction, reflecting growing confidence among developers in the corridor's future prospects.

Property prices have already surged

The airport's influence has already been reflected in local property values. According to Ashish Bhutani, CEO of Bhutani Infra, several micro-markets surrounding the airport have recorded appreciation of 40 to 80 per cent in recent years, even before flight operations commenced.

He believes the next growth cycle will be driven by actual economic activity, including new businesses, infrastructure projects and job creation.

Residential property prices across the corridor currently range between Rs 8,000 and Rs 12,000 per square foot, while commercial and office spaces are being launched in the Rs 8,000-15,000 per square foot range. Industry stakeholders expect further appreciation as demand expands across housing, retail, hospitality, warehousing and office segments.

Housing demand may strengthen

Improved connectivity has historically played a major role in driving residential demand, and developers expect Jewar Airport to reinforce that trend.

The airport is expected to enhance the appeal of the Yamuna Expressway and Greater Noida regions among both end-users and investors. Planned road, rail and metro connectivity projects are likely to further strengthen accessibility.

Industry estimates suggest apartment prices in airport-linked growth corridors could rise by around 22 per cent over the next two years, while plotted developments could witness appreciation of nearly 28 per cent.

For homebuyers, the attraction extends beyond property appreciation. As businesses establish operations near the airport, demand for housing closer to employment hubs is expected to increase.

Commercial real estate eyes next growth phase

The airport is also expected to create opportunities for commercial real estate. Developers anticipate rising demand from logistics companies, multinational corporations, technology firms and aviation-related businesses seeking proximity to the new airport.

Experts believe established commercial zones, including Noida's Mahamaya-Advant corridor, could also benefit from improved regional connectivity and expanding business activity.

Benefits could extend beyond Noida

Industry leaders say the impact may not be limited to Noida and Greater Noida alone. Manik Malik, CEO and President of BPTP, believes Faridabad could emerge as a beneficiary due to upcoming infrastructure projects such as the FNG Expressway, Greenfield Expressway, Delhi-Mumbai Industrial Corridor and the proposed Namo Bharat corridor.

Improved connectivity between Faridabad, employment centres and the airport could support future residential and commercial development in the city.

Execution remains the biggest test

Despite the bullish investor sentiments, there are indications that execution of infrastructure may play a decisive role in determining the magnitude of success in the future.

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According to Gaurav K Singh, Founder & Chairman, Womeki Group, Jewar Airport has many of the necessary components needed to develop into an important economic center due to the strategic locational advantages and its connectivity to industrial corridors.

But Singh pointed out that factors such as land acquisitions, regulation, and infrastructure coordination might delay development efforts from achieving quick results when compared to other global models based on airport development.

At this point, launching the airport would constitute a significant breakthrough. The extent to which the airport becomes an economic catalyst in the NCR area will depend on the rapid development of industrial clusters, logistic zones, commercial centers and infrastructures within and around the airport.

FAQs

Q1. Has the land value around Jewar Airport appreciated?

Yes. As estimated by the industry, the land values in some micro-markets around Jewar Airport have appreciated by between 40% and 80% in recent years prior to the start of operations.

Q2. Why is Jewar Airport expected to boost real estate demand?

Airports typically attract businesses, logistics companies and employment opportunities. This creates demand for housing, office spaces, retail developments, hotels and infrastructure in surrounding areas.