Motel One to open second Edinburgh hotel

German budget hotel chain Motel One is to open a second hotel in Edinburgh as part of its expansion plans for the UK.

The four-storey, 140-bedroom hotel, will open in the popular Princes Street and overlook Princes Street Gardens. It is expected to open in 2013.

The deal forms part of Aberdeen Asset Management's redevelopment for 10-15 Princes Street, which also includes the creation of three large-format retail stores.

Philipp Westermann, Motel One's Co-CEO, said: "Princes Street is such an attractive location for Motel One and we are very pleased about the deal for our second hotel in Edinburgh. We look forward to further projects in the UK market."

Motel One, which trades on the concept of offering "great design for little money" was founded in 2000 and has 36 hotels.

Simon Andrews, Aberdeen Asset Management director, added: "Our design team has worked very closely with both the hotel operator and city council to create a top-class redevelopment in a highly prominent and sensitive location on Princes Street.

"We received strong hotel interest for this fantastic location and chose Motel One as we were impressed with their unique business model, which combines high design, layout efficiency and affordable pricing and will complement the retail offering underneath."

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By Helen Gilbert

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