Regal Hotels International (HKG:0078) said it agreed to sell a property in London in control of its Solarmoon International unit, according to a Hong Kong bourse filing Tuesday.

Shares of the hotel operator fell nearly 2% in recent trade.

The company agreed to sell the freehold building in London to MNX Properties for a total consideration of up to HK$218.6 million.

The nine-storey building, which is currently vacant, is being sold so Regal Hotels can focus on its core hotel and property businesses in Hong Kong, the company said.

The transaction also involves Regal's parent companies, Paliburg Holdings (HKG:0617) and Century City International (HKG:0355), which hold indirect stakes in Regal.

The sale is subject to shareholder approval at each of the three companies.