Danish brewer Carlsberg A/S (CARL-A.KO) said Thursday that it will sell 75% of its historic brewery grounds in Valby, Copenhagen, to a property development consortium, using the proceeds to reduce debt as it continues to focus on cutting costs and developing its main business.

Carlsberg, the world's fourth largest brewer, said the sale will yield a gain of 1.4 billion Danish kroner ($248 million) after tax in the second quarter, with the total transaction worth about DKK2.5 billion.

"We're doing this to monetize redundant assets," Peter Kondrup, head of Carlsberg investor relations told Dow Jones Newswires. "This is part of Carlsberg's strategy to get value out of land we don't use anymore."

Danish analysts welcomed the news saying that the move frees up cash for Carlsberg, which it can use to reduce debt and focus on growth through acquisitions.

Carlsberg is struggling to reduce costs to maintain margins as consumers in Northern and western Europe cut back on spending though Asia and Russia are expected to see modest growth this year. In February, Carlsberg delisted its Russian unit Baltika, the country's biggest brewer, to steer it back to growth after sales were hit by surging beer taxes.

Built in 1847, the Valby brewery closed in 2008 and production transferred elsewhere. Discussions to sell the land began in 2009 with the space rented out in the meantime to art galleries, restaurants and retailers.

Carlsberg will retain and refurbish a number of the historic brewery's buildings and develop the rest of the site into a mix of commercial and residential properties.

The other members of the consortium are property investment company Realdania with a 25% stake, Danish pension funds PFA Pension with 20% and PenSam with 15% and insurer Topdanmark A/S (TOP.KO), also with 15%. The financials of the deal weren't included in the brewer's 2012 expectations announced on Feb. 20.

At 1320 GMT, shares were up 1.6% at DKK461, valuing the company at DKK69.25 billion.

-By Jens Hansegard, Dow Jones Newswires; +46-8-5451-3095; jens.hansegard@dowjones.com