Dholera Smart City: Investment Potential, Zones & 2026 Progress
  • Personal
  • Business
  • NRI
  • About Us
  • Learn
  • Help
Discover Personal
Discover Business
Discover NRI
>
Apply Now
16 JUNE, 2026

In Gujarat (roughly 100 km from Ahmedabad), the Dholera Special Investment Region (DSIR) is India's first greenfield smart city. It is built entirely from scratch with a vision to set a new benchmark for urban living. It spans 920 sq. km. and is designed to use technology, sustainability, and world-class connectivity to form a single, self-sustaining urban ecosystem.  

Backed jointly by the Government of India and the Government of Gujarat under the Delhi–Mumbai Industrial Corridor (DMIC), Dholera is not just a city under construction; it is being positioned as a global manufacturing and technology hub. The focus has clearly shifted toward industrial growth, with major progress in semiconductor manufacturing, including a 66.166-hectare Special Economic Zone (SEZ) notified in April 2026.  

Supported by a large-scale solar park, smart trunk infrastructure, and the near-complete Ahmedabad–Dholera Expressway, the project is steadily moving from blueprint to execution. The upcoming international airport, currently in its trial and licensing phase, is now expected to be completed by the end of 2026. 

Let’s know the objectives, projects, current status, and other details of the Dholera Project. 

What is the Dholera Smart City Project? 

Dholera is a smart city planned to be built from scratch in India. An ambitious project in the urban centres of Rajkot, Ahmedabad, Bhavnagar, and Vadodara, it will be one of the largest cities in the country, generating around $4 billion per year. Its primary objective is to provide citizens with affordable housing, education, and healthcare while maintaining sustainable standards. 

Extending around 920 sq. km. and comprising various territory tracts, the Dholera Special Investment Region (DSIR) is one of the biggest industrialised ventures in the country. Encompassing 22 villages and situated in the Gulf of Khambhat region, Dholera is positioned as a global logistical, industrial, and financial hub, with top-class Information and Communication Technology (ICT) infrastructure at its core. 

Primary Objectives of Dholera Smart City 

The primary objectives of the Dholera Smart City Project include the following: 

  • Creating an ICT-enabled infrastructure with an integrated system of city management 
  • Collecting industrial waste and wastewater to recycle them completely, and reusing them easily 
  • Providing an open storm channel to drain off rain and stormwater 
  • With proximity to Ahmedabad, it aims to provide housing to over 7 Lakh people 
  • Providing smart metres to offer real-time information on your energy use. Thus, you can better manage electricity usage 
  • Ornamenting cycling and walking lanes with different plants and trees 
  • Reducing traffic and pollution in the city 
  • Providing a sustainable ecosystem to future generations 
  • Building an inclusive and sustainable city that prioritises people and the environment 
  • Making a logistical, industrial, and financial centre worldwide 
  • Boosting the city’s digital connectivity by roads, ports, waterways, and railways 
  • Harnessing solar electricity as the primary power source across all urban services within the project 
  • It will have a green settlement with all the necessary amenities, including multi-functional parks, schools, community halls, colleges, and hospitals 

Implementing Agency of Dholera Smart City 

The State Government of Gujarat has created a Special-Purpose Vehicle named Dholera Industrial City Development Limited (DICDL), along with the central government's National Industrial Corridor Development Corporation (NICDC) Trust. This agency is responsible for implementing the Dholera Project. 

Dholera SIR Smart City Project 

The Dholera Smart City Project aims to build a global hub for industrial and economic activity. Spread across 22 villages, development is currently concentrated in the Activation Area, which is over 95% infrastructure-ready as of 2026. Some of the projects include the following: 

Project Name 

Implementing Agency 

Status 

Estimated Cost 

Design and Construction of ABCD Building 

Cube Construction and Engineering Ltd 

Completed 

₹72.31 crore 

Raw Water Transmission Main 

D.R. Agarwal Infra Pvt Ltd 

Completed 

₹29.67 crore 

Adhiya River Bunding Phase-1 

Jugalkishor Ramkishan Agarwal Pvt Ltd 

Completed 

₹11.87 crore 

Interior Works of BEC Building 

New Concept 

Completed 

₹19.44 crore 

Experience Zone at ABCD Building 

Tagbin 

Completed 

₹4.84 crore 

Design and Construction of Roads and Services 

Larsen and Toubro Ltd 

Ongoing 

₹1,801.07 crore 

Canal Front Development Zone-2 

P.R. Patel and Company 

Ongoing 

₹26.43 crore 

Canal Front Development Zone-3 

P.R. Patel and Company 

Ongoing 

₹14.99 crore 

Common Effluent Treatment Plant 

Larsen and Toubro Ltd 

Ongoing 

₹156.86 crore 

Sewage Treatment Plant (10 MLD) 

Larsen and Toubro Ltd 

Ongoing 

₹53.13 crore 

ICT MSI Project 

D.R. Agarwal Infra Pvt Ltd 

Ongoing 

₹68.99 crore 

Earth Filling in Selected Plots of Activation Area 

Montecarlo Ltd 

Ongoing 

₹86.01 crore 

Zoning of Dholera Smart City Project Area 

Dholera City has different zones: housing, commercial, amenities, recreational and sports, tourism, etc. Each zone has a proportion of the overall project as follows: 

  • Commercial: 47% 
  • Housing: 28% 
  • Tourism: 3% 
  • Common Amenities: 8% 
  • Roadways: 6% 
  • Sports and Recreation: 3% 
  • Corridor with Easy Access: 4% 
  • Others: 1% 

Area Divisions of Dholera Smart City 

Dholera City has various zones, each with its own benefits and features. Here is a comprehensive list: 

  1. Sports Zone 
  1. City Centre 
  1. 250 Metre Expressway 
  1. The Green Zone 
  1. Zone of Information and Technology 
  1. Corridor with Easy Access 

Industries in Dholera Smart City 

Some of the most important industries that the Dholera Smart City Project will comprise include electronics, heavy engineering, defence, manufacturing, high-tech technologies, agriculture, food processing, biotechnology, pharmaceuticals, and metal materials. 

In addition to these, Dholera is emerging as a destination for next-generation industries. The city is home to India's first semiconductor manufacturing hub, with Tata Electronics already part of the ecosystem. Electric vehicle (EV) clusters are also planned, with major automotive players showing strong interest. Defence and aerospace parks are under design and expected to begin construction soon. 

Current Status of Dholera Smart City 

The development of Dholera Smart City is progressing in three broad phases, each building on the last. 

Phase 1 (2020–2025): Laying the Foundation 

The first phase focused on the 22.5 sq. km Activation Area, the pilot zone that laid the groundwork for the entire project. Key achievements include: 

  • Smart roads up to 75 metres wide with underground utilities (water, drainage, power, fibre) 
  • Substations by Tata Power and Torrent Power ensure uninterrupted electricity 
  • A 250 MW operational solar park supporting clean energy needs 
  • A Narmada River pipeline enabling a 24×7 water supply 
  • The ABCD Building and the integrated Command and Control Centre 
  • Flood management systems with automated sensors 

As per DICDL’s 2024 report, the Activation Area is over 95% complete and ready for industrial setup. Companies such as ReNew Power, Torrent Gas, Tata Power Solar, and Hitachi Hi-Rel Power Electronics have already been allotted land. 

Phase 2 (2025–2030): Connectivity and Industrial Expansion 

The second phase focuses on improving connectivity and accelerating industrial activity: 

  • The Dholera International Airport is currently in the testing and licensing stage. Calibration flights were scheduled in early 2026, with Phase 1 completion now expected around 2027 
  • The Ahmedabad–Dholera Expressway, inaugurated in March 2026, has significantly improved regional connectivity 
  • Social infrastructure, such as schools, hospitals, and residential zones, is planned and under tendering, with execution expected in the coming years 
  • The Dholera Metro Corridor has received in-principle approval, but construction timelines are not yet finalised 

Phase 3 (2030–2042): Full-Scale Development 

The final phase will expand Dholera to its full 920 sq. km footprint, as outlined in the master plan: 

  • A projected population of up to 20 lakh residents (2 million) 
  • Over 8 lakh jobs across industrial and supporting sectors 
  • Expansion of the Dholera Solar Park to a planned capacity of 5,000 MW (5 GW) 
  • Continued industrial growth across sectors like semiconductors, electronics, and manufacturing 

Dholera Smart City Map 

The location of Dholera City is perfect for its fast growth and development. Surrounded by various important Gujarat cities and water bodies on three sides, the area is a premier site for economic activities. The Dholera Project is situated in the Gulf of Khambhat region, 100 km from Ahmedabad and 130 km from Gandhinagar. The area is also close to other important cities like Delhi, Surat, Mumbai, Jamnagar, and Rajkot. 

Conclusion 

The urban project of Dholera Smart City is actively taking shape on the ground. With Phase 1 infrastructure nearly complete, the Ahmedabad–Dholera Expressway inaugurated, and industries like semiconductors and renewable energy rapidly advancing, Dholera is steadily growing into the role it was designed for. For industrial investors and businesses, the ecosystem is now operational. For future residents, foundational social infrastructure is being tendered and will mature over the coming years. Now is an important time to watch and for industrial stakeholders to engage with India's most ambitious greenfield urban development initiative. 


Frequently Asked Questions

icon

What is the project area of Dholera?

The Dholera City covers an area of around 920 sq. km., of which 567.39 sq. km. is developable.

Which company is making Dholera a smart city?

The Central Government (NICDC Trust) and the State Government of Gujarat (DSIRDA) have collaborated to create a Special Purpose Vehicle (SPA) named Dholera Industrial City Development Limited (DICDL) to implement the Dholera Project.

What is the vision of Dholera?

The vision of the Dholera Smart City Project is to create a socially and economically balanced smart industrial city with world-class infrastructure.


Read Next
which-type-of-rate-article

Which Type of Interest Rate is best for you: Fixed or Floating?

Which Type of Interest Rate is best for you: Fixed or Floating? 

are-you-self-employed-three-steps-card

Are You Self Employed? Three Steps to Ensure Your Home Loan Application Is Accepted

what-is-plot-loan-t

Plot Loan : Understand Definition, Process

Load More

 

**Disclaimer: Interest rates and market conditions are subject to change. This information is accurate as of July 2025 and is meant for informational purposes only. Please consult with certified financial advisors for advice specific to your situation. Home loan approval is subject to the bank's terms and conditions.

Credit at sole discretion of Kotak Mahindra Bank Ltd. and subject to guidelines issued by RBI from time to time. Bank may engage the services of marketing agents for the purpose of sourcing loan assets.

This Article is for information purpose only. The views expressed in this Article do not necessarily constitute the views of Kotak Mahindra Bank Ltd. (“Bank”) or its employees. Bank make no warranty of any kind with respect to the completeness or accuracy of the material and articles contained in this Newsletter. The information contained in this Article is sourced from empaneled external experts for the benefit of the customers and it does not constitute legal advice from Kotak. Kotak, its directors, employees and the contributors shall not be responsible or liable for any damage or loss resulting from or arising due to reliance on or use of any information contained herein.