On November 28, the China Securities Regulatory Commission (CSRC) issued the "Announcement on Launching the Pilot Program for Commercial Real Estate Investment Trust Funds (Draft for Comments)," marking the initiation of the commercial real estate investment trust funds (REITs) pilot program.
Sources indicate that the Shanghai and Shenzhen Stock Exchanges, among other institutions, are actively advancing the revision of supporting rules, system upgrades, and the cultivation of pilot projects, with related regulations simultaneously soliciting market feedback.
A senior official from the Shanghai Stock Exchange stated, "In the next phase, under the guidance of the CSRC, the SSE will steadily advance all aspects of the commercial REITs pilot program, continuously refine relevant business rules, and collaborate with stakeholders to foster market development. The pilot will prioritize high-quality commercial real estate assets, ensuring rigorous entry standards and encouraging projects with strong operational management and stable performance to participate. Risk prevention measures will be strictly enforced, guiding all parties to fulfill their responsibilities and jointly promote the high-quality development of the public REITs market, establishing an efficient, risk-controlled, and healthy REITs ecosystem."
Similarly, a representative from the Shenzhen Stock Exchange emphasized, "Following the CSRC's unified arrangements, the SZSE will optimize REITs-related regulations, upgrade system compatibility, and work with market participants to cultivate and prepare commercial REITs projects, steadily driving the pilot program forward to enhance the multi-tiered capital market's role in serving the real economy."
Market data shows that, as of now, 77 REITs products have been listed nationwide, with a total issuance scale of RMB 207 billion (including expansions). The successful introduction of industry-first and regional benchmark projects has steadily expanded market capacity, ensuring stable operations and a maturing investor base—laying a solid foundation for commercial REITs in terms of regulation, market readiness, and ecosystem development.
Additionally, China's capital market has accumulated extensive practical experience in revitalizing commercial real estate. Public statistics reveal that since 2024, nearly RMB 100 billion worth of CMBS, quasi-REITs, and asset-backed securities (ABS) products backed by high-quality commercial assets such as hotels, office buildings, and shopping centers have been issued. Market participants have reached broad consensus on valuation methodologies, operational management, and product design for commercial real estate.
"Since its inception five years ago, the public REITs pilot has achieved remarkable results. The launch of commercial REITs holds significant importance, further unlocking the market's potential to revitalize existing assets and inject new momentum into economic and social development," commented an industry insider.
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