UK low-cost hotel chain Travelodge says it wants to expand its portfolio in Spain after announcing an acquisition in Madrid.
Travelodge has 570 outlets in the UK and currently has two hotels in Barcelona and one in Valencia, in addition to two existing Madrid sites.
It has acquired the lease for the 78-bedroom NH Villa de Coslada hotel in the Spanish capital and appointed global hospital advisors Aldaba Partners to find new sites.
Travelodge says it is targetting Alicante, Barcelona, Bilbao, Granada, Malaga, Madrid, Palma, Sevilla, and Valencia in its expansion plans.
In a statement, the company said: “At present the hotel market in Spain is dominated by independent owners, franchise and management agreement operators, and shorter leasehold deals.”
“Our research shows that there is a significant gap for branded, low cost and good quality accommodation in the midscale and economy sector.” it added.
It’s Villa de Coslada acquisition on a 20-year lease will be rebranded as the Travelodge Madrid Coslada Aeropuerto with refurbishment work commencing in May, though the hotel will remain open during the makeover.
Travelodge’s chief property & development officer, Steve Bennett, said “The Spanish hotel market is growing at pace with demand exceeding supply and we want to take this opportunity to take the Travelodge brand to new business and leisure locations across Spain.”