The 138-bedroom Holiday Inn Express Middlesbrough is to undergo a £2.2m extension in response to growing demand for rooms since its opening last August.
The extension, which is part of wider regeneration plans for the town, will see another 21 bedrooms added to the hotel, which is managed by RedefineBDL Hotels, bringing the total number of rooms to 159.
A separate retail and restaurant area will also be built and run by an independent operator.
The Middlesbrough extension will be funded by Sherland Property, a consortium of private investors, in partnership with Middlesbrough Council.
The expansion follows the addition of another two Holiday Inn Express hotels to RedefineBDL Hotels' portfolio this month. The two hotels in Redditch and Southampton bring the independent hotel management company's total of Holiday Inn Express hotels to 19. The company has a total of 65 hotels to date under its management.
Property developer Ashall Projects, which carried out the initial £12.4m development in 2014, will carry out the extension. The hotel is built on the Cook and Endeavour House building in Albert Road, which has been vacant for 15 years prior to its development in 2014.
Mark Winter, general manager at Holiday Inn Express Middlesbrough, said: "Since opening last year, the hotel has proved even more popular than we anticipated. I'm thrilled that the extension has been given the green light and look forward to welcoming even more guests to the hotel to experience the team's fantastic service.
Councillor Charlie Rooney, Middlesbrough Council's executive member for regeneration, said the council backed the Holiday Inn Express Middlesbrough project from the outset because the potential for the town centre was clear.
"The planned expansion will take it on to the next level, with the potential to create new jobs and further develop Middlesbrough as a leading destination for both business and leisure."
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