SINDHUDURG AEROSPACE
Concept study
Version 3 · Chipi, Sindhudurg · 99 year lease

THE AEROSPACE PARKThe full brief on one parcel: MRO, flight training, drones, space tech, hotels and homes, zoned so none of them disturbs the others.

LandAll 200 acres, four zones
Plan30 / 20 / 20 / 15 / 15%
Developer capexRs 280 to 450 cr
People on siteAbout 2,500
Photo: Trinidade, CC BY-SA 4.0, Wikimedia Commons
SINDHUDURG AEROSPACE
The airport
Exhibit 01 / The asset next door

A 24 hour, all weather runway with one airline on it is waiting for a second job.

Sindhudurg Airport at Chipi-Parule opened in October 2021, built by IRB Infrastructure on a 95 year concession across 271 hectares. In January 2026 DGCA upgraded its licence from visual to all weather operations.

2,500m
Runway, planned to extend
by up to 1,000 m
24x7IFR
All weather licence
from January 2026
6stands
Aircraft parking,
doubled from 3
1airline
Fly91, the only
carrier as of July 2026
Implication

Night and instrument operations let a flight school fly after dark and an MRO accept aircraft round the clock. That lifts utilisation on every asset in Zone A.

SINDHUDURG AEROSPACE
Demand
Exhibit 02 / Four markets, one runway

Each sector has its own reason to be at Chipi now.

SectorWhy nowWhy ChipiSignal
Turboprop MRORegional fleets growing under UDAN, 5% taxATR operator an hour away, 24x7 runwayFly91 40 on order
Flying trainingAirlines cannot hire pilots fast enoughSpare runway slots, night flying allowed20,000 pilots
Drone techLiberalised rules, production incentiveOpen plateau, sea and farm trial groundsGreen zone rules
Space techPrivate satellites authorised via IN-SPACeNo shared test facility in Maharashtra2% to 8% target
Implication

None of these needs a metro. Every one needs land, a runway, clear air or all three.

SINDHUDURG AEROSPACE
Why Chipi
Exhibit 03 / Strategic advantages

Four tailwinds that did not exist when the airport opened.

Operations

24x7 all weather licence

DGCA approved instrument operations with RNP procedures and a backup navaid in January 2026.

Night flying training and round the clock MRO intake become possible.
Tax

5% on MRO services and parts

GST on domestic MRO services and IGST on imported parts both sit at 5%, with full input tax credit.

Repair in India now competes with Singapore and Colombo on price.
Policy

MRO guidelines, 2021 and 2026

Royalty removed and rent free periods for new hangars, applicable at AAI airports.

Chipi is IRB run, so airside terms are commercial. Negotiate the equivalent with IRB.
Market

The Goa spillover

North Goa is an hour away and Sindhudurg is absorbing its tourism and second home demand.

Zone C and D pull demand from Goa, not only from the aerospace tenants.
Implication

The operational upgrade is the one to lead with. It changes the economics of flight training and MRO at this runway specifically.

SINDHUDURG AEROSPACE
Zoning
Exhibit 04 / Avoiding friction

Noise falls away with distance from the runway, so the zones do too.

01
Zone A, airside anchorMRO, flight school apron and drone flight test, on the airport boundary with a taxiway link to the 2,500 m runway
02
Zone B, the mid noise bufferDrone labs, aerospace production and space components between the hangars and the public zones
03
Zone C, the revenue generatorBusiness hotels, conference, aviation themed cafes and retail on the main access road
04
Zone D, the quiet quarterApartments, technician and pilot housing and parks, furthest from the runway behind a wide green belt
Implication

A hotel or home next to an engine run up bay is a lawsuit, not a neighbour. Separation is designed in, not negotiated later.

SINDHUDURG AEROSPACE
Allocation
Exhibit 05 / Use of the 200 acres

The optimal split: 30% airside, 20% tech, 20% residential, 15% hospitality, 15% buffers.

Zone A, airside60 ac
Zone B, tech and production40 ac
Zone D, residential and amenities40 ac
Zone C, hospitality and commercial30 ac
Green buffers and utilities30 ac
Acreage indicative, fixed only once title, taxiway access, CRZ mapping and aerodrome height limits are confirmed.
Implication

Airside gets the largest share because it earns the highest premium. Buffers get 15% because without them Zones C and D cannot be sold.

SINDHUDURG AEROSPACE
The four engines
Exhibit 06 / What the site does

Fly, fix, build, launch: four clusters that trade people and work.

Fly

Flight Academy

Pilots, engineers, operators
  • Flying training organisation
  • ATR type rating simulator
  • Night flying under 24x7 IFR
  • Drone pilot school
Zone A and B
Fix

Aviation Services

Turboprop and narrow body
  • ATR and A320 class MRO
  • Propeller overhaul shop
  • Engine modules
  • Component repair
Zone A
Build

Drone Centre

Make it and fly it here
  • Factory units for makers
  • Type certification testing
  • Maritime and farm trials
  • Supplier park
Zone B
Launch

Space Components

Maharashtra’s first shared facility
  • Shared satellite test labs
  • Cleanroom assembly
  • Component manufacturing
  • Ground station
Zone B
Implication

The MRO hires the academy’s engineers and the drone makers hire its pilots. The clusters recruit from each other.

SINDHUDURG AEROSPACE
Zone B
Exhibit 07 / Drones and space components

Build the drone and fly it here. Test the satellite without leaving the state.

Zone B sits between the hangars and the public zones, so moderately noisy production doubles as the buffer.

01
Drone factory unitsServiced plots for makers building their own halls
02
Type certification testingUnder the Drone Rules 2021 scheme
03
Flight testingIn Zone A or under a yellow zone ATC permission
04
Space component unitsStructures, harnesses, payload electronics
05
Shared test labsThermal vacuum and vibration, co-funded
06
Ground stationSubject to IN-SPACe authorisation
Implication

The drone range and the test labs are the draw. Tenants locate where they can test.

SINDHUDURG AEROSPACE
Zones C and D
Exhibit 08 / Hospitality and residential

Hotels on the road, homes behind the green belt, and a captive market for both.

Pilots, technicians and engineers form a well paid population on site, and North Goa adds demand from outside.

01
Business hotel and conferenceOn the access road, Phase 1
02
Aviation themed cafes and retailServing every zone
03
ApartmentsPremium and mid market, MahaRERA registered
04
Technician and pilot housingA micro township inside Zone D
05
Parks and amenitiesIncluding the 5% UDCPR amenity space
06
Green beltThe sound barrier between Zone B and D
Implication

Zone C validates demand in Phase 1. Zone D is priced off Zone A’s payroll once it exists.

SINDHUDURG AEROSPACE
The lease
Exhibit 09 / 99 year leasehold

A 99 year lease is bankable only if it says six things.

Lenders read the head lease before the business plan. Its terms decide the capital structure.

01
Right to sub leasePlots let to operators on 30 to 60 year sub leases
02
Right to mortgageNo mortgageable leasehold, no construction debt
03
Assignment and change of controlInvestors enter and exit the SPV without a lessor veto
04
Conditions precedentTitle, 63-1A or NA, taxiway and CRZ cleared before rent
05
Rent structureLow rent through approvals, escalating once plots earn
06
Stamp duty and registrationLong leases pay near conveyance duty; townships get 50% off
Implication

Start with an agreement to lease, not the lease itself. Pay an option fee, clear the conditions, then sign the 99 years.

SINDHUDURG AEROSPACE
Legal framework
Exhibit 10 / Legal framework and hidden costs

Four regulatory boundaries sit under the land before a single plan is drawn.

Tenancy law

Section 63 and 63-1A

Under the Maharashtra Tenancy and Agricultural Lands Act, agricultural land cannot pass to a non agriculturist without permission. Section 63-1A permits it for bona fide industrial use and integrated townships.

Secure 63-1A permission or NA conversion as a condition of the lease. A 2026 amendment realigned the conversion premium with the Land Revenue Code, so budget for it.
Land agency

MIDC nodal leasing

Large parcels near airports are often held or managed by MIDC, which leases on 95 to 99 year terms.

Confirm who holds title. If MIDC, its lease terms and allotment process apply instead of a private lease.
Coast

CRZ Notification 2019

A no development zone of 50 m or the creek width applies along tidal creeks, and 200 m from the sea in rural CRZ-III areas.

Map the parcel against the approved Coastal Zone Management Plan before layout. Keep creek edges green.
Planning

Integrated Township Project

Mixed industrial and residential use does not fit standard zoning. UDCPR 2020 Chapter 14, formerly the Special Township Policy, allows it with single window approval.

Confirm with Town Planning that aviation industry sits within the permitted mix, or split into a township and an industrial layout.
A planning summary drawn from public sources, not legal advice. Confirm every point with Maharashtra land and planning counsel.
Implication

None of these is a reason not to proceed. Each is a reason to make the lease conditional until it is cleared.

SINDHUDURG AEROSPACE
Approvals
Exhibit 11 / Regulatory and licensing framework

Seven authorities, one integrated compliance timeline.

ComponentAuthorityKey approvals
Aircraft MRODGCA, IRB, BCASCAR-145 approved maintenance organisation; airside access agreement with IRB; airside security clearance
Flying trainingDGCA, AAI and ATCFTO approval; training airspace and circuit slots agreed with ATC; simulator qualification
Drone labs and productionDGCA, MoCA, QCIRemote Pilot Training Organisation authorisation; type certificate under the Drone Rules 2021 scheme; yellow zone test permission
Space tech labsIN-SPACe, ISROAuthorisation for any satellite operation or ground station; standard industrial approvals for component manufacturing
Hotels and housingTown Planning, MahaRERAUDCPR 2020 compliance; 5% amenity space on layouts of 20,000 sq m or more; MahaRERA registration for residential sale
Land and heightCollector, AAISection 63-1A permission or NA conversion; lease registration; AAI height clearance near the runway
EnvironmentMCZMA, SEIAACRZ clearance where applicable; environmental clearance for buildings above 20,000 sq m built up
Implication

Run the approvals in parallel, not in sequence. The taxiway agreement and land title gate everything else, so they start on day one.

SINDHUDURG AEROSPACE
Business model
Exhibit 12 / Master developer, serviced land

Build the ground, not the hangars. Operators bring their own buildings.

The developer builds

Serviced plots

Clear title, master zoning approval, grading, internal roads, an 11 MVA power grid, water, drainage, security and the taxiway link.

Capital into civil infrastructure only
No specialised equipment risk
Operators build

Their own facilities

MRO hangars, simulators, drone factories, space labs and hotels are built and equipped by the airlines, academies and brands that run them.

Specialised capex off the developer’s balance sheet
The developer earns

Four income lines

Plot premiums on sub lease, annual ground rent, common infrastructure charges, and a share of hospitality and residential development.

Early cash from Zone C and D
Long income from Zone A and B
Implication

A two year Phase 1 cannot deliver hangars and labs as well as land. Serviced land is what a master developer can deliver in 24 months and finance.

SINDHUDURG AEROSPACE
Developer capex
Exhibit 13 / What the developer funds

The developer’s cheque covers civil infrastructure, nothing more.

ElementBasisRs cr
Phase 1, months 0 to 24Title, approvals, Zone A and C serviced, taxiway link, 11 MVA power142 to 240
Phase 2, years 2 to 4Zone B serviced for drone and space tenants, second power feed60 to 90
Phase 3, years 3 to 6Zone D serviced; developer or JV residential and amenity build80 to 120
Version 3 developer totalAbout six years282 to 450
IndicativeOrder of magnitude from Indian industrial park and township benchmarks. Excludes lease rent or premium, which depends on terms with the lessor. Replace with a quantity surveyed estimate before any commitment.
Implication

Keeping hangars, simulators and labs with the operators turns a Rs 1,000 crore ecosystem into a developer cheque a fraction of that size.

SINDHUDURG AEROSPACE
Capital structure
Exhibit 14 / Equity to debt

Expect 40:60 to 50:50 equity to debt, with equity alone for the first nine months.

Equity, 40 to 50%Promoter, PE, strategic JV
Rs 57 to 120 cr
Debt, 50 to 60%Construction finance, IDFs, PSU banks
Rs 71 to 144 cr
Months 0 to 9Title, master plan, approvals
100% equity
Ranges applied to the Phase 1 developer capex. Lenders draw down only once the project is shovel ready.
01
Gestation lagServiced plot income does not start until month 18 to 24
02
Leasehold collateralBanks want a larger equity cushion on leasehold than on freehold
03
Phased de-riskingEquity carries the approval risk; debt funds grading, roads and power once cleared
Implication

Higher leverage is not available early and would not be wise if it were. The first nine months are the risk equity is paid to take.

SINDHUDURG AEROSPACE
Phase 1 plan
Exhibit 15 / 24 month rollout, two parallel tracks

Airside infrastructure and commercial validation run side by side for 24 months.

Track
Months 1 to 6
Months 7 to 12
Months 13 to 18
Months 19 to 24
MilestoneWhere the project stands
Title, JV and approvals filing
Engineering and clearances
Heavy civil works
Handover
AirsideAerospace anchor
IRB access agreement signed as a condition of the lease
Taxiway engineering layout; CRZ and environmental clearances
Grading, 11 MVA power grid, water and drainage
Phase 1 serviced plots handed to MRO and FTO operators
CommercialLifestyle validation
Hotel operator and anchor tenant letters of intent
Hospitality plot design; MahaRERA for any residential sale
Hospitality land preparation; show plots for operators
Hotel operator starts construction on its plot
CapitalMoney in
Promoter seed equity only
PE or strategic JV closes; lender appraisal
Debt drawn against clearances
First plot premiums and ground rent
Implication

Commercial plots validate demand and bring early cash while the slower airside approvals run. Neither track waits for the other.

SINDHUDURG AEROSPACE
Risk matrix
Exhibit 16 / Critical Phase 1 risks

Seven risks to close in the first 24 months, the first one above all.

RiskImpactMitigation
Taxiway access agreementWithout a tie in to the runway, Zone A loses most of its valueBinding long term access agreement with IRB in the first 6 months, written in as a condition of the lease
Land title and Section 63Lease invalid or delayed if agricultural land is not clearedTitle search; 63-1A permission or NA conversion as a condition precedent
CRZ and environmentDelay or halt on land near creeks or the seaMap against the CZMP; keep creek margins green; file early
Township approvalIndustrial and residential mix fails standard zoningIntegrated Township Project under UDCPR Chapter 14, or split approvals
Runway lengthNo wide body aircraft at 2,500 mTarget turboprops and narrow bodies; wide body only as Phase 2 with the runway extension
Anchor demandServiced plots sit emptyLetters of intent before capex; service land in step with signed demand
Leasehold financingLenders cautious on leasehold landMortgageable head lease; 40 to 50% equity; pre leases as security
Implication

The taxiway agreement is the single largest value driver on the site. Nothing irreversible is spent until it is signed.

SINDHUDURG AEROSPACE
How to start
Exhibit 17 / The first 120 days

The best way to start: lock the land conditionally, then sign tenants before raising.

01
Sign an agreement to lease99 years, conditional on title, 63-1A or NA, taxiway access and CRZ, against an option fee
02
Form the master developer SPVOne vehicle for the land, approvals and serviced plots
03
Open the IRB conversationA memorandum on airside access within 90 days
04
Collect three anchor lettersAn MRO operator, a flight school and a hotel brand
05
Commit seed equityAround Rs 10 to 25 cr for due diligence, master plan and filings
06
Raise with tenants in handStrategic JV or PE at shovel ready, then debt
Next step

The order matters. Capital raised before the taxiway and the tenants are secured is raised at the worst price it will ever get.

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