Budget hotel group Travelodge is to open its third hotel in Bath after gaining planning permission to convert a former office building in Westgate Buildings.
International real estate investment manager Savills Investment Management secured approval from Bath & North East Somerset Council for the 56-bed hotel on behalf of the Charities Property Fund (CPF). 
Travelodge, which already operates hotels on Rossiter Road and George Street, has pre-let the Westgate Buildings site on a 25-year lease.
The conversion of the former office space above Sports Direct, Halfords, and the Sony Centre is the latest in the city centre as developers look to satisfy demand for hotel accommodation.
The trend means developers can now make higher returns by converting buildings to hotel accommodation than keeping it for business use – adding to the shortage of office space in the city centre.
Portfolio manager for CPF at Savills Investment Management, Angy Benitz, said Bath needed more hotel rooms despite a spate of new openings and more venues in the pipeline.
The city attracts nearly a million overnight visitors each year.
“Bath is exactly the type of location that we look to invest in over the long term because it is supply constrained coupled with robust occupier demand,” he said.
“We have deliberately built up a core holding within the immediate vicinity of this asset extending to three other nearby properties.
“This asset management initiative was set out in the business plan at purchase and has resulted in an 85% increase in rent and a doubling in value for the upper parts. Achieving planning permission and securing Travelodge is a great result for our charity investors, some of whom are located in Bath.”
