Travelodge, the UK’s first budget hotel chain, with over 610 properties across the UK and Spain, has signed an agreement to acquire the freehold of a strategically located real estate asset on the outskirts of central Madrid. This transaction brings the company’s total number of hotels in the region to 13. The acquisition is being executed under a forward funding structure within the Travelodge OpCo Group.

The transformation of the existing building will be led by Grupo JRU, in collaboration with Lexxa Hotels, acting on behalf of Travelodge. The building permit application is scheduled to be submitted during the third quarter of 2025. The project aims to convert the property into a modern 90-room hotel aligned with the brand’s latest design standards. Subject to receiving the necessary approvals, construction works — to be carried out by DICSA, Grupo JRU’s construction company — are expected to commence in 2026, with the hotel slated to open in summer 2027.

The site enjoys a prime location, just 30 minutes by public transport from Madrid’s city center and with easy access to both Madrid Airport and the city’s main railway stations: Atocha and Chamartín.

Travelodge already has a solid and profitable presence in the Spanish market and has outlined an ambitious expansion plan. The company has identified multiple key locations across the country where it plans to grow its hotel portfolio.

At present, Travelodge operates a well-diversified and high-quality network of hotels across major cities and urban centers in both the UK and Spain.

Steve Bennett, Chief Property and Development Officer at Travelodge, stated: “We are delighted to strengthen our presence in Spain with this unique opportunity to acquire the freehold of a centrally located hotel in Madrid.

“Spain continues to establish itself as a key market where both leisure and business travellers value quality accommodation at affordable prices. We are excited to keep expanding in this dynamic environment, with around 20 priority locations already identified across the country.

“We remain open to a variety of development types, including office conversions, the acquisition of trading assets, and forward-funded new build projects. We are eager to explore all opportunities this market has to offer.”

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Notes to editors:

For further information please contact:

The Travelodge Press Office

T: 01844 358 703

E: pressoffice@travelodge.co.uk 

About Travelodge  

Founded in 1985, Travelodge is Britain’s very first budget hotel chain and today is one of the largest budget hotel chains in the UK, with a portfolio of over 610 hotels and over 47,000 bedrooms across the UK, Ireland and Spain.  

Travelodge continues to see significant growth opportunities in the UK, with over 300 target locations identified following a comprehensive market review.

In Spain, Travelodge has an established profitable presence and has ambitious growth plans within this market and has identified the top key locations where it would like to open additional hotels in Spain. 

Welcoming over 22 million guests annually across the UK, Ireland and Spain, the majority of Travelodge hotels are located in major cities, towns and holiday hotspots as well as by airports and key business hubs. With over 96% of its hotels rated 4* or above on TripAdvisor, Travelodge is proud to offer guests across its diverse customer base a good value experience – whether they are travelling for business or leisure. 

Whether out celebrating a birthday, going to a concert or sporting event, visiting friends and family, taking a business trip, working away from home, or taking a short break, we help people to go and do their thing by Being the Brilliant Base.

Travelodge continues to invest in its ongoing hotel refit programme and has already upgraded c.60% of the Travelodge room estate to its new design. The brand is also continually evolving its quality offering to deliver a better experience for its diverse mix of business and leisure guests such as its new look Bar Cafe design, 85 Bar Café, which has been rolled out to selected UK hotels as part of the refit programme.  

Travelodge is focusing on its environmental and social impact, with sustainability integral to its business strategy. Its Better Future sustainability plan aims to build a more sustainable future for its customers, colleagues and the planet, underpinned by three core pillars: Inclusive – ensuring we are accessible, inclusive and well-priced to our customers and colleagues; Caring – creating a caring and healthy environment for our colleagues and customers and ensuring their wellbeing; and  Conscious – Travelodge is conscious of its impact on the planet, taking into account the waste it produces, the energy and other resources it consumes and the carbon emissions it generates.  

For further information visit travelodge.co.uk or the Travelodge Hotels Limited LinkedIn page.