UPDATE 1-Carlson's Regent to quit Shanghai luxury hotel

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By George Chen and Samuel Shen

SHANGHAI, July 1 (Reuters) - Regent, a luxury hotel operator owned by Carlson Hotels group, said on Tuesday it will pull out of its only hotel in Shanghai after ending a three-year partnership with a local property owner.

The exit follows a dispute over a profit-sharing scheme with its partner, sources familiar with the matter said.

The hotel is continuing to operate under the name "Longement".

Regent did not indicate a reason for the pull-out and Changfeng could not be reached for comment.

Carlson Hotels Worldwide said it had terminated its hotel management agreement for The Regent Shanghai with effect from Tuesday.

"Our commitment to the expansion of the luxury Regent brand across key gateway cities in China and the rest of Asia-Pacific continues to be a strong focus and we are exploring new opportunities and strategic partnerships to this end," Martin Rinck, president of Carlson Hotels Worldwide - Asia Pacific, said in a statement in response to a Reuters inquiry.

China has become the world's fastest-growing hotel market for several global brands, including InterContinental (IHG.L: Quote, Profile, Research, Stock Buzz) and Ritz-Carlton, the luxury hotel arm of Marriott (MAR.N: Quote, Profile, Research, Stock Buzz).