Boutique Hotels on a Budget
By Monica Khemsurov

(Business 2.0) – A new breed of hotel could be to lodging what JetBlue has become to flying. The cheap-chic hybrid--think Days Inn meets the W--is taking off, the logical next step in an industry whose higher end has been casting off its dowdy look for something a little edgier. "Boutique and hip is very compelling, so demand is trickling down," says Jan Freitag of Smith Travel Research. Here are the three new chains leading the trend. -- MONICA KHEMSUROV

EasyHotel

European airline EasyJet is jumping into the hostelry game, booking its first outlet in London this month. The mod orange rooms measure 60 square feet and hold just a bed and a bathroom; no TV, no windows. The prices are also minimalist: from 5 to 60 pounds a night (about $10 to $115).

Yotel

European restaurant chain Yo Sushi will open its first Yotel in London in 2006. Inspired by British Airways's first-class cabins, the 100-square-foot rooms will cost 70 pounds ($135) a night and have windows facing a central hall (where light adjusts to evoke the time of day) and flat-screen TVs.

Cambria Suites

EasyHotel and Yotel plan to expand Stateside eventually. But meanwhile, Cambria Suites, a chain from Choice Hotels International, plans to open locations outside Miami and Chicago next year. The $100 utilitarian-moderne rooms will feature separate work areas, plasma TVs, and Wi-Fi.