Travelodge invests €12 million in third Madrid hotel

Hotel chain Travelodge is to make a further investment in Spain by committing around 12 million euro to open its third hotel in Madrid. The hotel will be a new-build and will be located in the business park of Julián Camarillo in the north east of the city near the M40 motorway on the way to Barajas airport. The hotel will have 98 rooms and at least 37 parking spaces.

This new hotel in Madrid, which will join the Travelodge Torrelaguna and Travelodge Las Rozas, would appear to be a sign of confidence from the British budget hotel chain in the Spanish market. Construction of the new hotel to be called Travelodge ‘Santa Leonor de Madrid’ will start in August, coinciding with the opening of a yet another new Travelodge in Spain in the city of Valencia.

According to Horacio Alcalá, director of international development at Travelodge, the company has been able to continue its growth path by being able to acquire establishments in better locations at lower prices thanks to the recession. Only in 2009 did the British hotel chain announce its intention to expand into Spain with an investment of 61 million euro and the opening of three new hotels in Barcelona, Seville and Valencia.

The new Travelodge hotel in Valencia plans to open its doors in early August and will have 116 rooms and is located near the airport of Manises. The new Travelodge hotel in Barcelona will be in area 22 @ “Innovation District”, while the hotel in Seville  is located in Prado de San Sebastián close to metro and bus stations.

The hotel chain says it has chosen to invest in Spain due to the great potential for growth of low cost hotels in the country and the high level of Internet use among Spaniards with regard to booking accommodation and travel planning. There are only about 100 low cost hotels in Spain which represents less than 1 percent of the total hotels in the county, a figure which contrasts with 16 percent in the UK, 25 percent in France and 33 percent in the USA.

This entry is filed under Madrid Hotels.