New World Development Co. Ltd. sold its 96% stake in the Sun On Mansion residential building in Hong Kong's Causeway Bay to property investor Winland Group for HK$2.17 billion, Mingtiandi reported, citing a source with knowledge of the matter.

Winland Group intends to transform the 10-floor asset on Cannon Street into a commercial building offering 85,000 square feet of gross floor area, under the city's compulsory sale for redevelopment law.

The redevelopment is subject to governmental approval, the Dec. 20 report added.

Hong Kong-listed New World accumulated the stake over a three-year period for a sum of HK$1.4 billion. The deals include its HK$200 million purchase of 20 residential units in the tower in 2015, representing 30% of the building's shares, and the acquisition of four ground-floor retail shops at the site from Leong On-kei, the fourth wife of Macau casino mogul Stanley Ho.