The final piece in the Newton Abbot town centre redevelopment jigsaw could take the shape of a modern budget hotel and new shops, say developers.

The old Seymour Horwell Volvo dealership in Wolborough Street has been derelict since the company relocated to Kingsteignton a few years ago.

The site is among the last in the heart of the town waiting resuscitation.

Since 2005, a new £28million Asda store has gone up in Bradley Lane, as has a major affordable housing scheme together with a new bridge over the River Lemon plus a reshaping of the road network.

Opposite the proposed hotel, a new carpet store with apartments above has been completed and work on 15 affordable flats is under way nearby in Clarendon Road.

Now London-based Newmark Property Investments Ltd has said a 61-room Travelodge with shops below could complete the picture.

In plans submitted to Teignbridge Council, the firm said the hotel would provide 'clean, comfortable and affordable accommodation' and the shops 'a variety' of units to suit retail, restaurants, banks and building societies.

Newmark said it had been 'aware of the need to improve the current hotel and retail facilities' and had developed a scheme that 'reflects the function of the building in a contemporary style of architecture while complementing the character of the area'.

Its three-storey design would feature a mix of materials and 'contrasting colours and vertical forms derived from the surrounding architectural character of Newton Abbot'.

Access to the hotel reception would be off Highweek Way but no dedicated parking has been planned, the developers arguing the site is well served by public transport and existing facilities.

Newton Abbot development manager Sally Henley described the plans as 'fantastic news'.

'It's been a long time coming and I can't think of anything better suited to the site,' she said.

'There is definitely need for additional accommodation and Travelodge is a great brand.

'I would be delighted to welcome them to Newton Abbot as I'm sure would the whole town.

'I have no worries that additional parking isn't planned, that's often the way with town centre budget hotels and where I've stayed in them before it works well.

'We have had the most wonderful pedestrianisation and modernisation programme in Newton Abbot and this scheme would be the icing on the cake.'

The matter is likely to go before members of Teignbridge Council's development control committee for a decision later this year after consultation among town councillors and statutory bodies such as Devon County Council and the Environment Agency.

Ms Henley said she was also keen that the impasse over another derelict site in Bank Street, another former car sales lot which has been the subject of wranglings between Teignbridge and the owner, could also be resolved before long.

'It is something I think needs revisiting,' she said.