Salmon Harvester Properties has launched a new venture to source development opportunities in the hotel sector.

The new company, Salmon Harvester Hotels (SHH), has a development fund of £100m and an initial target of 25 hotels across the UK.

Property consultancy Gerald Eve has been appointed to identify potential sites, covering an acre or more, which could be developed into budget, three- and four-star hotels.

Once identified, SHH will pre-let the properties to established operators and then build the hotel to their specifications.

“We believe that there are opportunities for us in the budget and three-star hotel sectors and in the rapidly re-emerging four-star sector, and have developed excellent connections with the principal budget hotel operators such as Accor, Whitbread and Travelodge,” said Doug Stewart of Salmon Harvester.

“Many operators have ambitious expansion programmes and limited resources at present so it is becoming more common for them to look to experienced developers to package deals for them.”

The company is already working on a six-storey, 120-bedroom property in Borehamwood for Premier Travel Inn and nearby, has pre-let a further 120-bedroom hotel to Accor, which will be branded Ibis.

Salmon Harvester Properties is a joint venture between NFU Mutual and Salmon Developments.