Gulbarga Airport is a private regional greenfield

Greenfield project

In many disciplines a greenfield is a project that lacks any constraints imposed by prior work. The analogy is to that of construction on greenfield land where there is no need to remodel or demolish an existing structure...

 airport

Airport

An airport is a location where aircraft such as fixed-wing aircraft, helicopters, and blimps take off and land. Aircraft may be stored or maintained at an airport...

 project under construction at Srinivas Saradagi, near Gulbarga

Gulbarga

Gulbarga is a city in the Indian state of Karnataka. It is the administrative headquarters of Gulbarga District. It was formerly part of Nizam's Hyderabad state...

, Karnataka

Karnataka

Karnataka , the land of the Kannadigas, is a state in South West India. It was created on 1 November 1956, with the passing of the States Reorganisation Act and this day is annually celebrated as Karnataka Rajyotsava...

. which will serve Gulbarga

Gulbarga

Gulbarga is a city in the Indian state of Karnataka. It is the administrative headquarters of Gulbarga District. It was formerly part of Nizam's Hyderabad state...

 city. Gulbarga Airport Project was taken up under Public Private Partnership (PPP).

History

The government of Karnataka awarded this project to a consortium of Maytas Infra Ltd (Now IL&FS Engineering and Construction Company Limited.), NCC Infrastructure Holdings Ltd (NCC) and VIE India Project Development and Holding on 15 November 2007, on a BOT

Build-Operate-Transfer

Build-own-operate-transfer or build-operate-transfer is a form of project financing, wherein a private entity receives a concession from the private or public sector to finance, design, construct, and operate a facility stated in the concession contract...

 basis (Concession period is 30 years. The concession shall at the option of consortium be extended for a further period of 30 years).

A Special Purpose Company

Special purpose entity

A special purpose entity is a legal entity created to fulfill narrow, specific or temporary objectives...

 (SPC) by name Gulbarga Airport Developers Pvt Ltd (GADPL), has been established to sign the Project Development Agreement (PDA) with IDD, Government of Karnataka. The Shareholding pattern of Maytas Infra, NCC and VIE will be 37%, 37% and 26% respectively in the SPC. The project development agreement was signed on 3 April 2008.

The foundation stone for the Phase I construction was laid by former Chief Minister of Karnataka, Shri B. S. Yeddyurappa on 14 June 2008.

Land Acquisition and Lease

The government had acquired 567 acres of land.

Government has an agreement with the joint venture firms for a 30-year lease wherein the latter would pay lease rent 15,111 per acre annually, so the firms has to pay 86 lakh

Lakh

A lakh is a unit in the Indian numbering system equal to one hundred thousand . It is widely used both in official and other contexts in Pakistan, Bangladesh, India, Maldives, Nepal, Sri Lanka, Myanmar and is often used in Indian English.-Usage:...

s annually to the government. The lease rent will be increased by 10% every three years during the lease period. The land lease deed for the project was signed on 21 December 2010.

• For Airport - 371 acres
• For Landside development - 322 acres.