Caffyns, the AM100 car dealer group in southern England, has sold a Volvo dealership.
The business in Hove, near Brighton, also had a Ford retail dealership and has been bought by Dinnages Garages, which already represents Ford and Renault.
Caffyns said the £417,000 realised will be applied in reducing its debts and for reinvestment in the business.
Caffyns now represents Volvo in Eastbourne only, according to data from AMi (www.am-online.com/ami).
Caffyns has also exchanged contracts with Wilmington Homes for the £600,000 purchase of a vacant freehold site at Worthing on which it hopes to build a new Volkswagen dealership.
Once planning permission is gained, this development will replace Caffyns' current VW dealership in Goring-by-Sea.