GMR Airports Ltd will develop a new cargo city spread over 50.5 acres at Indira Gandhi International Airport (IGIA) in Delhi, the country’s largest airport operated by Delhi International Airport Ltd (DIAL), a subsidiary of GMR Airports.

According to a regulatory filing, the project involves creating state-of-the-art cargo and logistics facilities across 50.5 acres, including a 10-acre optional land parcel for future expansion. GMR Airports has been selected to finance, design, develop, construct, operate, manage and maintain the cargo city until 2036, with the concession period extendable by an additional 30 years. The company has also received a Letter of Intent to Award (LOIA) from DIAL.

The project will follow a revenue-share payment model, with GMR Airports required to pay a minimum monthly guarantee to DIAL. For the initial period up to 2036, the total estimated payment obligation amounts to Rs 4.16 billion.

The filing further noted that the transaction qualifies as a related party deal conducted on an arm’s length basis, with all necessary approvals secured in compliance with SEBI Listing Regulations and the Companies Act, 2013.