The Richoux restaurant group has agreed to sell the leases of three restaurants, including its Piccadilly site, for a total of £625,000.
The business, which owns and operates restaurants under the Richoux, Villagio, Friendly Phil's, Zintino and the Broadwick brands, announced its intention to reduce its portfolio in August.
The sale of the lease to Richoux Piccadilly for £500,000 in cash will be completed before 21 March 2019 if it gains landlord approval. Proceeds will bolster the group's working capital and be supplemented by additional agreements to sell the leases of Friendly Phil's in Braintree, Essex, and Richoux Gloucester Road, London, for cash considerations of £25,000 and £100,000 respectively.
The group reported a 10.3% fall in revenue in the 26 weeks to 1 July 2018 to £5m. The net loss for the period was £980,000.
Jonathan Kaye, chief executive of Richoux, said: "Following the strategic review of our estate, we have entered into agreements, subject to satisfaction of certain conditions, to sell the leases to our Piccadilly, Braintree and Gloucester Road restaurants which, if successful, will enable us to focus on the remaining portfolio."