Two Canadian landmark hotels are for sale. Canadian Pacific Ltd. has decided to sell the picturesque Chateau Frontenac, one of the landmarks of Quebec City, as part of a $305 million dollar deal.

Legacy Hotels Real Estate Investment Trust is buying the Chateau Frontenac for $185 million and the Empress Hotel in Victoria for $120 million, Canadian Pacific Hotels and Resorts Inc. announced Tuesday.

Canadian Pacific Hotels is a major shareholder of Legacy, with a 34 per cent stake in the real estate company.

`With the sale of the Empress and Le Chateau Frontenac to the Legacy REIT we are able to realize the value of some of our real estate assets while maintaining long-term management contracts at these premier properties,'' CP president David O'Brien said in a release.

``Over the past three years we have significantly expanded our hotel business and will continue to look at opportunities to grow both within North America and internationally.''

Calgary-based Canadian Pacific is one Canada's largest companies, with operations in the railway, shipping, energy and hotel industries. The conglomerate's operating companies include Canadian Pacific Railway, CP Ships, PanCanadian Petroleum, Fording Coal and Canadian Pacific Hotels and Resorts.

Canadian Pacific Hotels now owns just four resort hotels in Canada _ the Banff Springs, Chateau Lake Louise and Jasper Park Lodge, all in Alberta, and Chateau Montebello in Quebec.