DNZ Property Fund is proposing a merger with its counterpart, Argosy Property Trust.
Last month, Argosy's manager, ANZ Bank, proposed bringing the management of the Trust's portfolio in-house, in return for $32.5 million.
DNZ says a merger is compelling and would create a listed property vehicle of significant size and diversification.
It also hinted a merger could result in a significant cut in ANZ's proposed $32.5 million payment, which some unitholders argue is far too high.
The Trust's independent directors says it is not unconvinced by DNZ's proposal, arguing it's not compelling and currently light on detail.
