We derive a new four-dimensional partial differential equation with the isospectral Lax representation by shrinking the symmetry algebra of the reduced quasi-classical self-dual Yang--Mills equation. Then we find a recursion operator for the obtained equation and construct B{\"a}cklund transformations between this equation and the reduced quasi-classical self-dual Yang--Mills equation as well as the four-dimensional Mart{\'{\i}}nez Alonso--Shabat equation. Finally, we construct extensions of the integrable hierarchies associated to the hyper-CR equation for Einstein--Weyl structures, the reduced qua\-si-classical self-dual Yang--Mills equation, the four-dimensional universal hierarchy equation, and the four-dimensional Mart{\'{\i}}nez Alonso--Shabat equation