The Adani Group is gearing up for a significant expansion into the Indian hospitality market, with ambitious plans to

develop one of the country's largest hotel portfolios, according to a Times of India report on December 20. This move

represents a strategic shift for the conglomerate, leveraging its rapidly growing airport and real estate businesses to

compete with established players like the Tata Group's Taj, ITC Hotels, and the Oberoi chain.

The group intends to develop more than 60 hotels across India, primarily connected to the airports it operates and the

extensive real estate projects it controls. Jeet Adani, a director at Adani Group, stated that the sheer size of this

planned portfolio would rank it among the largest in the nation.

Navi Mumbai is central to this hospitality push, as the group is developing a new international airport there along with

substantial surrounding real estate. The plans include approximately 15 hotels in Navi Mumbai alone, demonstrating the

scale of the group's ambition and its confidence in the future demand for business travel, events, and leisure stays in

the region.

Rather than operate hotels under its own brand, the Adani Group intends to partner with international hotel operators

for property management. This approach allows the group to concentrate on asset development while relying on established

global brands for operations, distribution, and customer loyalty.

The hospitality expansion is part of a broader strategy to transform Adani-operated airports into multi-use urban

centers. These hubs will include retail spaces, food and beverage outlets, convention centers, and entertainment venues

alongside passenger terminals. This "city-side" development aims to decrease reliance on aeronautical revenues, such as

landing and parking fees, which currently account for approximately half of airport revenues. The group anticipates this

share to decrease significantly to around 10% as non-aeronautical businesses, including hotels, lounges, retail, and

events, become more prominent. The goal is to reposition airports as commercial districts rather than solely transport

facilities.

Large convention and event infrastructure is a key component of this strategy. The Adani Group plans to develop a major

convention center in Mumbai and a smaller arena with a 25,000-seat capacity in Navi Mumbai. These facilities are

designed to attract exhibitions, corporate events, and large gatherings, which will generate consistent demand for

nearby hotels, restaurants, and transportation services.

This strategy mirrors a global trend in airport-led urban development, where airports serve as economic anchors for

entire districts. Reliance Industries’ Jio World Convention Centre in Mumbai’s Bandra Kurla Complex, which opened in

2022, has already illustrated the potential of large, integrated event spaces. Adani’s plans suggest a similar ambition

to build interconnected ecosystems directly linked to airports.

Acquisitions also play a role in the group's hospitality roadmap. The Adani Group has expressed interest in acquiring 88

assets of the Sahara Group, including the Sahara Star hotel in Mumbai, a prominent property near the airport.

Separately, the group has secured creditors’ approval to acquire assets of the Jaypee Group, which include five hotels

in northern India. These deals would enable Adani to expand rapidly by incorporating existing properties into its

portfolio.

Despite the envisioned size of the hotel business, the group does not plan to spin it off into a separate company. Real

estate assets will remain with Adani Realty and Adani Properties, while airport-linked developments will stay within the

airport business. To ensure coordination, a unified management team has been established to maximize value across both

verticals.