IF you build it, they will come. Or so the saying goes.

The famous words of US President Theodore Roosevelt in 1910 couldn’t have been more appropriate this week, with news that two more towering hotels are to be built in Southampton.

While the city’s residential development has ground to a screeching halt, hotel operators are seemingly desperate to snap up the last remaining pockets of city centre land.

Plans were unveiled for a £30m 100-bed hotel and apartment tower on the former Cedar Press site, between Royal Crescent Road and Saltmarsh Road.

Meanwhile budget hotel giant Premier Inn confirmed it wants to build a new 150-bed hotel behind the new headquarters of cruise giant Carnival.

They bring the number of hotels due to be built in Southampton to seven, with a combined total of 1,096 rooms. These are in addition to the 1,098 beds opened in the city since 2001.

Now existing hoteliers are growing fearful that the city is reaching saturation point, with budget hotels already dominating the skyline.

Occupancy rate surveys of Southampton, compiled on a monthly basis for all the big-name chains, show the city to be consistently high.

However Gavin Elliott, chairman of Southampton Hoteliers’ Association, said the data was not an accurate reflection of the hotel market as it did not take into account many independent hotels.

He believes occupancy rates are far lower, proved by the fact room prices are being slashed in a desperate attempt to drum up business.

“If demand was strong you wouldn’t see much discounting taking place. There are some very good deals out there at the minute – some as low as £9 a room,” Mr Elliot said. “Increased competition will only cause hoteliers to be even more aggressive on price, and that may well drive prices down. Occupancy will also suffer if there is no new business to fill these extra rooms.”

The credit crunch took a bite out of the hotel business during last year’s Southampton Boat Show, with bookings the worst in recent memory.

Mr Elliot, who is also manager of the Chilworth Manor Hotel, yesterday called on the council to block any further attempts to build budget chain hotels in the city.

But Councillor Royston Smith, Cabinet member for economic development, insisted there was still a demand for rooms. “We have to cater for every pocket and all tastes. It doesn’t fit in with our vision to have just one type of hotel,” he said.