The Australian Industrial REIT, the $220 million trust under siege from the rival 360 Capital Industrial Trust, is finalising a proposal that could break the deadlock.
The stock, known by its ticker as ANI, went into a trading halt on Friday pending an announcement by the responsible entity "in relation a possible control transaction." Details of the transaction were not released.For nine months, the trust, and its manager, Fife Capital Funds, and the independent board committee chaired by former Boral chief executive, Rod Pearse, have been locked in a bitter battle of attrition with the 360 Capital Group led by managing director Tony Pitt. 
Today the the 360 Capital Industrial Trust controls over 33 per cent of the stock. And its bid is still on the table.
Its a largely scrip offer worth, on Friday's pricing, around $2.23. If 360 Capital gains control of the management, investors can gain another 10 cents. By comparison ANI's last sale ahead of the trading halt was at $2.26.
For the majority of investors, the scrip offer was not enough. Many were also strongly supportive of manager, Fife Capital.
If the directors and manager of ANI can negotiate a high enough cash bid, they could resolve one of the long running stand-offs in the real estate sector.
The trust, which was listed in   October 2013, holds 16 warehouse and industrial properties worth $330.1 million on a cap rate of 7.85 per cent, and with, at   June 30, gearing of 34.2 per cent.
On that basis the net tangible asset backing (NTA) is $2.13, up at 9.8 per cent in the last financial year.
It is not a flagship portfolio like the $1 billion worth of warehouses just bought by the Singapore-based Ascendas.
But analysts believe the capital would be available to buy the fund. The question, as always, would be price.