Hosur, the industrial town in Tamil Nadu bordering Bengaluru, is witnessing a surge in land values as the state government progresses plans for a greenfield airport project near Bengaluru. Landowners in and around Hosur are reporting sharp increases in plot rates, attributed to the anticipation of infrastructure development and future air connectivity.
The airport proposal has gained momentum, with the Tamil Nadu government shortlisting two potential sites for the new facility. One potential location is near the Taneja Aerospace & Aviation Limited (TAAL) airstrip in Belagondapalli, while another lies close to Shoolagiri. The project is expected to span over 2,300 acres, with an aim to handle up to 30 million passengers annually in its mature phase.
As site selection progresses, land close to the shortlisted zones—particularly near Belagondapalli and Bagalur—has seen the sharpest gains. Observers note that landowners and investors are repositioning ahead of formal project announcements, resulting in speculative demand that’s driving prices upward.
Officials report that the state government is working on survey reports and final site clearances. An Obstacle Limitation Surface (OLS) survey is expected to be completed soon to assess airspace and height restrictions.
However, the airport project must navigate multiple regulatory challenges. One major hurdle is a concession agreement with Kempegowda International Airport Limited (KIAL), which currently prohibits any new airport within 150 kilometers of Bengaluru until 2033. For the Hosur airport to proceed, the Tamil Nadu government may need to seek exemptions or renegotiate the terms.
In summary, land rates in Hosur are rising sharply as the greenfield airport plan gathers momentum. While site selection and regulatory clearance are still in process, the speculative demand and improving expectations are already reshaping property dynamics in this cross-border growth corridor.
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