Synopsis: Visakhapatnam International Airport will soon stop its commercial flight operations and soon be replaced by Bhogapuram International Airport also known as Alluri Sitarama Raju International Airport. This article covers the airport’s connectivity corridors, the areas likely to get benefitted, and the investment activities around it.
Located in Vizianagaram district, roughly 45 km to 50 km from central Visakhapatnam and around 23 km from Vizianagaram town, Bhogapuram Airport is being developed by GMR Airports at an estimated cost of ₹4,725 to ₹5,000 crore. It is expected to replace Visakhapatnam’s Indian Navy run civil enclave and open a new growth corridor across North Coastal Andhra.
Airport Overview
- Official name: Alluri Sitarama Raju International Airport
- Developer: GMR Visakhapatnam International Airport Limited (GVIAL), under a 40-year DBFOT concession
- Runway: 3.8 km, capable of handling wide-body aircraft
- Capacity: Approximately 6 to 6.3 million passengers annually in Phase 1
- Terminal: 40 check-in counters and 12 DigiYatra pods
- Transition: From Visakhapatnam International Airport to Bhogapuram International Airport
Connectivity
Bhogapuram has direct access to National Highway 16 (NH-16), and several other ease of connectivity from that area,
- NH-16: A dedicated high-capacity interchange for direct vehicle routing into the airport terminals
- Visakhapatnam-Bheemili-Bhogapuram Beach Road upgrade: Removal of speed breakers from the coastal stretch to create a signal-free high-speed link
- Anandapuram elevated corridor planned to ease traffic at this junction on the Vizag-Bhogapuram route
- 15 internal road-widening projects in Visakhapatnam city feeding traffic toward the corridor
- 100 dedicated electric buses (approx.): APSRTC is deploying these to ferry passengers from the city to the terminal
Areas Likely to Benefit
Areas near Denkada and Natavalasa also sit close to the Pusapatirega and Pydibhimavaram pharmaceutical hubs, adding an industrial-demand layer beyond airport-driven residential growth.
Recent Investments in the Nearby Areas
- Google AI Hub, Visakhapatnam of approx. $15 billion (₹1,33,215 crore) over 2026-2030: India’s first Google AI hub, developed with AdaniConneX and Airtel, spanning close to 600 acres across Tarluwada, Adavivaram, and the Rambilli-Achyutapuram cluster with a planned 1 GW capacity as part of a broader 6.5 GW state digital infrastructure.
- JNPC (Jawaharlal Nehru Pharma City) pharma cluster at Parwada: With 86 operational units and an estimated ₹25,000 crore turnover
- Union Budget 2026-27, Biopharma Shakti, ₹10,000 crore: A five-year national outlay to strengthen biologics and biosimilar manufacturing, relevant to North Andhra’s pharma clusters at Pydibhimavaram and JNPC.
Real Estate Outlook
Land prices in the Bhogapuram corridor have already risen 34.5% in the last 5 years. Current land values stand at approximately ₹1,950 per sq. ft. in Bhogapuram, with an expected increase of 20% to 30% in land prices after the commencement of flight operations, with an estimated CAGR of 18% to 22% till 2028, according to various sources.
All in all
Bhogapuram’s launch marks a structural shift for North Andhra’s connectivity, aviation capacity, and real estate demand. With priority road corridors, an emerging pharma and AI-infrastructure investment base, and early-stage but sharp land price appreciation, the airport corridor is positioned as one of coastal Andhra Pradesh’s fastest-growing investment zones.
