easyHotel has agreed to take over the 104 room Tune hotel in Newcastle.
The hotel at Proctor House, 23-29 Side, is centrally located between the city centre and The Quayside, and an 8-minute walk from Newcastle Central Station.
The group said the property, which opened as a hotel in 2014, is in excellent condition and will open as an easyHotel next month following minor rebranding works to the building.
It said that Newcastle would be the group's second leased site.
The hotel will be let on a 25-year FRI (fully repairing and insuring) lease at an annual rent of £442,000.
At 9:16am: (LON:EZH) Easyhotel Plc share price was +2.5p at 120p