Easyhotel acquires building in Manchester for £6m

Budget hotels operator Easyhotel has acquired a new building in Manchester for £6m.The purchase of the building, built in the 1800s and known as "The Flatiron" because of its shape, is conditional to Easyhotel obtaining planning permission to build a hotel.Easyhotel plans to build a 114-bedroom hotel, which would open in summer 2016.Chief executive Simon Champion said: "Manchester has substantial international tourism, good economic growth potential, a large population and successful, internationally-renowned universities."We expect this new Easyhotel to attract a variety of leisure and business customers looking for good quality accommodation at an affordable price and look forward to being a part of the city's ongoing success."The group this week posted a rise in half-year profits and revenues due to an increase in hotel portfolio capacity.Pre-tax profit rose 7% to £0.37m, while revenue doubled to £2.6m..The company also plans to open a new hotel in Croydon, south London, in November 2015 and acquired a development site in Liverpool which is expected to open in spring 2016.On Friday, Easyhotel shares closed up 2.58% to 77.45p.