GMR Group-led consortium sign development agreement for Istanbul's second int'l airport

25 March 2008

Consortium members for the construction of the Istanbul Sabiha Gokcen International Airport (SGIA), GMR Infrastructure, Limak Insaat San Ve Tic (Limak) and Malaysia Airports Holding Berhad (MAHB) have signed an implementation agreement with the Turkish Government's ministry of defence.

The agreement was signed on 20 March 2008.

Under the terms of the agreement, the concession is for a period of 20 years where the consortium will make a committed minimum investment of over Euro 250 million. The consortium will also pay Euro 1.93 billion in concession fees to the government over this period.

The scope of the concession includes operations of the existing terminals, as well as the construction of a new integrated domestic and international terminal that will allow the airport to eventually handle 10 million passengers on an annual basis.

The duties and rights of the consortium include carrying out any activity related to handling of aircraft, passengers, baggage, cargo, fuelling, and other activities as well as any non-aero commercial business such as duty free sales, food and beverages, hotel, car parking and advertising, amongst other things.

A multi-level car park will accommodate around 4,500 vehicles, while a hotel adjacent to the terminal will serve transit passengers, airline crew and others.