BUDGET hotel operator Travelodge launched a £100m property fund yesterday as it set about snapping up struggling assets in the hotel sector.

The joint venture with Meghraj Properties will look to acquire between eight and 14 hotels, which will then be leased to Travelodge.

Travelodge, which operates 380 sites and is the UK’s second biggest budget operator, said many of the hotels would be in the midmarket sector, which is struggling in the recession.

It said targeting existing operations, particularly those in mature markets where Travelodge does not have a strong presence, meant it could expand without the delay of planning and construction.

STORE DEAL: Supermarket Sainsbury’s yesterday announced plans to raise £445m to ramp up store expansion, as it reported a 7.8 per cent rise in first quarter sales. The group’s like-for-like sales hike, excluding VAT and fuel, smashes the 4.3 per cent growth reported by market leader Tesco on Tuesday.

Sainsbury’s, which has been enjoying a revival amid the recession, said it now wants to boost store base by 15 per cent by March 2011, and it is asking shareholders for the cash to fund the move.

ON THE ROAD: A car dealership is launching a used car centre this weekend. Jennings FordDirect Used Car Centre is being opened within the group’s Cargo Fleet Lane site in Middlesbrough. The company runs a FordDirect dealership at its Newcastle Road dealership, in South Shields. Managing director, Nas Khan said: “The arrival of FordDirect in Middlesbrough further maintains our position as the region’s leading independent Ford retailer.”

GET THE EDGE: A free talk on how to get the edge over competitors is being held at White Rose Books, in Thirsk, today, from 6pm to 7.30pm.

Seating is limited. Contact Sue Lake on 01845-524353 or e-mail info@whiterosebooks.com to book a place.