Bannatyne Hotels plans to open a £2.5m hotel in Durham called Hotel Bannatyne in Belmont.

The 50-twin room Hotel Bannatyne is aimed at business travellers as well as tourists visiting historic Durham City.

Guests will be able to access Bannatyne’s Health Club Durham, which shares the same building.

Lumsden & Carroll Construction – part of the Esh Group – will develop the hotel, which is expected to open in early 2007.

The development will be the second Hotel Bannatyne in the north east.

Nigel Armstrong, Bannatyne MD, said: “Hotel Bannatyne in Durham introduces a new concept in hotel accommodation for the north east. The exceptional value the hotel offers is unquestionable – the Bannatyne brand is synonymous with quality.

“We have conceived a flexible and low-cost hotel to attract a wide range of guests who will appreciate its value, style and design.”