PALASAMUDRAM : LOCATION & INVESTMENT ADVANTAGES

• NACIN Palasamudram is intended to be a global learning hub and a leading institution for building expertise in indirect taxes and narcotics control
• Spread over 500 acres of land next to a lake, the campus is designed with a focus on sustainability and is home to diverse flora and fauna.
• The village of Palasamudram was chosen for its strategic location and accessibility as it is located along the NH 44 with a serene drive of an hour from the Bengaluru Airport.

1000 Acres BEL’s Aerospace R&D Park in Palasamudram to be Operational in Early 2026

• The BEL Palasamudram project in Anantapur, Andhra Pradesh, is a major expansion by Bharat Electronics Ltd (BEL) for a Defence Systems Integration Complex (DSIC), a 1000- 1200 acres hub for aerospace/defense R&D, manufacturing (especially missiles/radars), and integration, aiming to boost India’s self-reliance, creating thousands of jobs and integrating MSMEs, with phases expected operational by 2025-2026.
• Total Estimated Investment: The initial estimated investment was around ₹500 crore over a period of 3 to 4 years, but recent reports indicate significant ongoing investment in phases.
• The first phase of the project, spread over 65 acres and costing Rs 385 crore, is currently underway and is expected to be completed by the end of 2025. The second and final phase will commence in 2025 and is slated for completion in early 2026
• Key Contractor: RITES Limited has a contract for Design, Project Management Consultancy (PMC), and construction of a mass manufacturing facility as part of the project, valued at over ₹177 crore.

• Andhra Pradesh Industrial Infrastructure Corporation (AIIPC) APIIC develops numerous Industrial Parks (IPs), Industrial Development Areas (IDAs), and Special Economic Zones (SEZs) across all districts of Andhra Pradesh, including specific parks in Palasamudram.
• Area : The park spans over 264 acres of land.
• Project Cost: The initial phase of the project is estimated to cost around INR 450 crore.
• Employment Generation: The park is projected to create significant employment, with estimates of approximately 2,500 direct jobs and 6,250 indirect jobs.
• Location Advantage: The park is strategically located near the Karnataka border, only an hour from the Bangalore International Airport, allowing businesses to leverage the talent pool and logistics of the established Bangalore aerospace industry.

KIA MANUFACTURING UNIT OF 536-ACRES

• KIA with an investment of over $1.1 billion (Rs 13,500 crore) and a world-class manufacturing facility spanning 536 acres in Anantapur, Kia’s plant boasts an annual production capacity of 300,000 vehicles and has already manufactured more than 500,000 units since 2019.
• The Kia plant in Anantapur significantly boosts local real estate by creating jobs (driving demand for housing), attracting ancillary industries (boosting commercial/industrial property), improving infrastructure (roads, services), and increasing overall economic activity, leading to rising land values and development of residential/commercial areas, particularly around palasamundram.

KIA–led Development wave in Palasamudram real estate

• Job Creation: Kia’s massive investment and production (300k units/yr) created numerous direct and indirect jobs, attracting workers who need housing, from entry-level to managerial roles, pushing up
  rental and sale prices.
• Increased Demand: A large workforce needs places to live, boosting demand for apartments, houses,
  and rental properties in towns like Penukonda and Anantapur.
• Improved Amenities: Growth leads to better schools, hospitals, markets, and entertainment, making
  the area more desirable to live in
• Supplier Ecosystem: Kia’s plant attracts numerous component suppliers (ancillary units) to set up nearby, requiring industrial sheds, warehouses, and logistics hubs.
• Retail & Services Boom: More people and businesses mean more demand for retail spaces (shops, restaurants), hotels, and service centers, benefiting commercial property owners.
• Infrastructure Growth: The state invests more in roads, power, and water, making the region more attractive for future industrial and residential projects.

Air Bus flying down to Palasamudram

• France-based Airbus is in discussions with the Andhra Pradesh government for a proposed manufacturing facility in Palasamudram ,Anantapur district.
• The state government has proposed Palasamudram location for the project, which is close to Bengaluru, on the Andhra Pradesh border. It could involve a components manufacturing unit at this location. A team from Airbus is also in talks with the Anantapur collector for a 250 acres site for the project.
• Airbus, one of the world’s leading commercial aircraft manufacturers, it is reliably learnt, is looking to set up shop in Palasamudram at Anantapur district of Andhra Pradesh.
• The close proximity to Bangalore reportedly worked in favour of bringing Air Bus to Anantapur. Air Bus can serve many companies including HAL and BEML which cater to the needs of defense, railway and mining.

Raymond Group to invest Rs 1,000 Cr in Aerospace & Automotive sectors at Palasamudram ,Satya Sai Dist

• The Raymond Group is investing 1,000 crore in two projects at satya sai district (palasamudram) region strategically located near the border with Karnataka/Bengaluru. Such,as spanning automotive textiles and aerospace components manufacturing.
• The twin projects are expected to create Over 6,500 direct and indirect jobs expected and are scheduled to be launched in May 2027.

Strategic Location-Seamless Connectivity

• Project is strategically located Just 1.5km from Bangalore-Hyderabad section of NH 44, the longest highway in India. This ensures seamless and efficient road transport to major cities including Bengaluru, Hyderabad, and Chennai.
• The Bengaluru-Vijayawada Expressway (NH-544G) is an under-construction, six-lane, access-controlled highway designed to significantly reduce travel time and distance between the two cities
• A new railway station at Palasamudram which is 2km away from the project location is sanctioned by the Union Ministry of Finance and the Ministry of Railways to specifically cater to the needs of the new NACIN campus and surrounding development.
• Existing Railway stations at palasamudram are Penukonda Railway station and Hindupur Railway station both are 20mins drive from project location.
• The Kempegowda International Airport (BLR) in Bengaluru is the most accessible international airport,60mins drive via NH 44 acts as a major catalyst for boosting Palasamudram’s real estate potential, transforming the region into an attractive investment hub