National Property Trust is reported to have shell out over $850,000 worth of cost for establishing a restructuring proposal that would earn the trust a position among NZX-listed firms.

According to the proposal, the manager would be given $2.5m for the contract. However, the 31.95m units owned by the manager and "associated persons" will be acquired for a net amount of $16.6m, or 51 cents per unit.

Unit-holders yesterday reported to have received details on the trust's proposal to acquire the management contract which is held from National Property Trust Limited (NPTL), owned by St Laurence Funds Management.

The manager decoded to formally retire from its management rights and sell back its ownership to the property investor following soaring pressures from a group of unit-holders, including the Cushing family.

"Instead of using capital to take advantage of an opportunity to buy a property, the opportunity that has presented itself is to internalize the contract", Mr. Walker quoted.

The reasons behind the requirement of an external manager of a unit trust have been cited as the inefficient and misaligned management of the trust.