An application has been submitted to Portsmouth City Council for a 152-bedroom hotel next to Zurich House in Portsmouth.
The 12-storey building in Stanhope Road will be one of several new high-rises in the city centre, which include new student accommodation along the same road.
National hotelier Travelodge is the firm interested in using the space and could sign a 25-year lease. It will create 32 jobs, including 10 full-time positions.
In an economic statement, which is part of the application, Travelodge said it expects 72,800 customers to use the hotel per year.
Its statement said: ‘This is a significant number of guests who will be visiting the area and contributing to its economic prosperity.
‘Taking a conservative estimate of expenditure per guest of £10, it could generate more than £728,000 per year for the area.’
The statement added: ‘Travelodge wishes to play an important part in enhancing the vitality and vibrancy of the city centre as well as increasing the capacity for visitors to stay overnight.
‘With the continued regeneration of Portsmouth comes an increase in the number of events that attract significant numbers of people to the city.
‘Travelodge is committed to having a sustainable and long-term presence in the city.’
The application includes an additional basement level with space for 52 car parking spaces. If approved, the hotel could be open by late 2018.
Leader of the council, Councillor Donna Jones, welcomed the application.
She said: ‘I’m delighted an application has been submitted for a new hotel in the city centre.
‘We have been working with a developer to ensure the new building adds to the city centre and the city’s economic growth agenda.
‘With a growing and thriving city, with major events going from strength to strength, now is a great time to open and build a new hotel.
‘We have a strong demand with hotel rooms in the city charging double over the America’s Cup weekend and Victorious last year. This is because we have a lack of hotel rooms in the city.
‘We have a significant level of interest from hoteliers and developers for the first time in decades.’
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