Travelodge invests £70m in new UK sites

Budget hotel chain Travelodge is continuing its aggressive expansion strategy by announces the acquisition of two hotels from Swallow Hotels, and the acquisition of a further five hotels for a combined total of £70 million.It will invest £5m in refurbishing and branding the Swallow Hotel located in Scarborough and, pending planning permission, invest £2m converting the Swallow Hotel in Edinburgh. Both hotels will be trading under the Travelodge brand by early 2009.

Of the total £70m, £34.5m will be invested in the remaining five hotels, which are located in London Finsbury Park, Porthmadog, Gloucester, Caernarfon and Egham.

Paul Harvey, Travelodges Property Director, said “As price and location continue to drive consumer behavior we are seeing customers shift to budget hotel accommodation. These new hotels, in some of the top UK tourist spots, will add nearly 700 new rooms to our portfolio helping us to make hotels available to more people than ever before.”