Aldi and Travelodge have joined forces to launch hybrid supermarket-hotel developments to serve cost conscious consumers in the downturn.

The two companies are developing a site together in Newquay, Cornwall, where Travelodge will build a 74-bed hotel above Aldi’s 14,500 sq ft store. A similar project is also under way at Aldi’s Middlesbrough site. In both cases, Aldi has the freehold of the sites and Travelodge has taken a lease.

The Middlesbrough site will be completed by the end of next month and Newquay is scheduled to open in autumn next year.

Travelodge managing director for development Paul Harvey said: “By developing sites together with Aldi we are sending out a clear signal that the budget sector in the UK is going to make the most of the opportunities presented by the economic downturn.

“The credit crunch is freeing up sites for development that previously would not have been viable for either of us. I am sure that we will continue to work closely together over the forthcoming years.”

Aldi achieved its biggest share of the UK grocery market to date in the 12 weeks to October 5, with a sales increase of 22 per cent leading to a 3 per cent market share, according to TNS Worldpanel research.