On 10 March 2024, Prime Minister Narendra Modi officially inaugurated the new terminal building at Kolhapur Airport. The terminal is part of a broader development initiative valued at about Rs 2.56 billion, which includes the construction of the terminal, runway extensions, new apron and parking bays. Designed by Gian P Mathur Architects & Planners (GPM), the terminal's architecture draws inspiration from Kolhapur’s heritage and has earned a four-star GRIHA rating.

Discussing the design brief, Anil Shinde, Kolhapur Airport Director, Airports Authority of India (AAI), says, “Kolhapur Airport is inspired by Maratha-style architecture. Stonework is widely used in Kolhapur and nearby areas, including northern Karnataka and Belagavi. Inspired by this traditional element, former Minister of Civil Aviation Jyotiraditya Scindia suggested incorporating Maratha-style elements from Maratha literature, architecture and history.”