Performance Section - The real estate market continues to stabilize, with some companies experiencing significant performance recovery. In the first two months of 2026, 29 typical real estate companies reported year-on-year sales growth, with 9 companies achieving growth rates exceeding 100% [3][5] - The total sales amount for typical real estate companies in January-February 2026 was 288.87 billion yuan, with a total amount of 307.34 billion yuan. However, the overall sales remain low due to the impact of the Spring Festival holiday and ongoing supply constraints [4][3] - Among the companies with significant performance recovery, China Construction Yipin achieved a year-on-year growth of 114.5%, largely due to its Shanghai Bund project contributing over 1.8 billion yuan in a single month, accounting for nearly half of its total sales [5][6] - The proportion of companies with year-on-year sales growth is higher among state-owned enterprises, with 36.4% of central enterprises and 36.8% of state-owned enterprises reporting growth, compared to 28.6% for private enterprises [10] Financing Section - In the first quarter of 2026, real estate financing decreased by 37% year-on-year, totaling 52.238 billion yuan, with a 51% decrease compared to the previous quarter. Despite a relatively loose financing environment, many private enterprises still face significant financing difficulties [16][13] - The cost of offshore bond financing in the first quarter of 2026 was 10.86%, influenced by only two companies issuing bonds, which raised the overall cost. Domestic bond financing costs rose to 2.73%, remaining low due to a favorable monetary environment [17][19] - The debt maturity pressure remains significant, with 2025's bond maturity scale reaching 454 billion yuan, while the issuance scale was only 213.8 billion yuan. The overall debt maturity scale for 2026 is expected to be around 352.1 billion yuan [21] - The government has initiated a financing coordination mechanism to support real estate development, which is expected to alleviate liquidity pressures and enhance market confidence [23][13]

1. Report Industry Investment Rating No information about the industry investment rating is provided in the given content. 2. Core Viewpoints of the Report - The REITs market continued to decline, posting losses for the fifth consecutive week. Before the annual report disclosure, the liquidity of equity - type REITs continued to decline, while that of concession - type (mainly transportation and environmental protection projects) increased. Warehouse logistics continued to lead the decline, but the decline narrowed. Currently, funds are mainly on the sidelines, waiting for primary - market participation opportunities, and the willingness to participate in the secondary market is generally weak [2]. - This week, four new public REITs had new progress in the primary market. The Dongfanghong Tunnel REIT completed the inquiry on Wednesday, with a final price of 4.68 yuan per share, a premium rate of 12.6%, and an effective subscription multiple of 173.69 times, corresponding to an offline capital scale of about 170.7 billion yuan. The Changbao Rental Housing REIT started the inquiry on Friday, but its overall scale was relatively small, about 830 million yuan [2]. - Next week, the REITs annual reports will be concentratedly released in the first half of the week, and three products will be lifted from the lock - up period, which may cause short - term disturbances to the market [2]. 3. Summary According to the Directory 3.1 Primary Market: Four New Public REITs Had New Progress - Since 2025, 20 REITs have been successfully issued, with a total issuance scale of 40.3 billion yuan. This week, four new public REITs had new progress: the Zhonghang Beijing Changbao Rental Housing REIT was in the inquiry stage, the Dongfanghong Tunnel High - speed REIT was in the inquiry stage, the GF Xincheng Wuyue Commercial Real Estate REIT was under inquiry, and the Guolianan Fuxing Commercial Real Estate REIT was declared, with Sanya Atlantis as the underlying asset [2]. - The current REITs in the approval process: (1) For new issues, 33 have been declared, 2 have been inquired and feedback has been given, 0 have passed the review, and 0 are registered and waiting to be listed. (2) For expansion and fundraising, 4 have been declared, 1 has been inquired and feedback has been given, and 1 has passed the review [2]. 3.2 Secondary Market: The Index Declined This Week 3.2.1 Market Review: The CSI REITs Total Return Index Declined by 0.83% - This week, the CSI REITs Total Return Index (932047.CSI) closed at 1013.34 points, a decline of 0.83%, outperforming the CSI 300 by 0.59 percentage points and underperforming the CSI Dividend by 0.30 percentage points. The CSI REITs Total Return Index has risen by 0.35% since the beginning of the year, outperforming the CSI 300 by 3.10 percentage points and underperforming the CSI Dividend by 3.99 percentage points [2]. - By project attribute, equity - type REITs fell 0.88% this week, and concession - type REITs fell 0.75%. By asset type, the consumer (- 0.32%), environmental protection and water utilities (- 0.40%), energy (- 0.73%), and affordable housing (- 0.78%) sectors performed better [2]. - By individual bond, 12 rose and 67 fell this week. Among them, China Merchants Expressway REIT (+1.48%), Southern Vanda Data Center REIT (+1.33%), and BOC Sinotrans Warehouse Logistics REIT (+1.08%) ranked in the top three, while Huaxia Nanjing Expressway REIT (- 5.72%), CICC Chongqing Liangjiang REIT (- 4.08%), and Southern SF Logistics REIT (- 3.63%) ranked in the bottom three [2]. 3.2.2 Liquidity: The Turnover Rate and Trading Volume of Equity - Type REITs Both Declined - The average daily turnover rate of equity - type/concession - type REITs this week was 0.30%/0.32%, a change of - 1.08/+4.28 BP compared with last week. The trading volume within the week was 322 million/109 million shares, a week - on - week change of - 3.52%/+15.28%. The data center sector was the most active [2]. 3.2.3 Valuation: The Affordable Housing Sector Had a Higher Valuation - From the perspective of ChinaBond valuation yields, equity - type/concession - type REITs were 4.09%/5.09% respectively. The transportation (6.26%), warehouse logistics (5.82%), and park (4.97%) sectors ranked in the top three [2]. 3.3 This Week's News and Important Announcements - **News**: On March 24, 2026, the tender announcement for the financial advisor and fund manager of the Changchun Urban Development Investment Holding Group's water infrastructure public REITs was released, with the opening date on April 14. On March 25, 2026, the project of selecting the financial advisor and fund management unit for the Changchun Heating Public REITs failed to attract enough bidders and was aborted. On March 25, 2026, the candidate for the custodian bank of the Taoxichuan Cultural and Creative Block REITs project was announced, with the China Construction Bank Jiangxi Branch as the first - ranked candidate. On March 26, 2026, the candidate for the fund manager of the Anhui Jiuhuashan Cultural and Health Care Public REITs was announced [31]. - **Announcements**: The strategic placement shares of the Huitianfu Shanghai Real Estate Rental Housing REIT (180 million shares) will be unlocked on March 31, 2026. The simulated issuance scale of the CICC Xiamen Affordable Housing REIT's expansion and fundraising is 685.8 million yuan, with the proposed issuance amount not higher than 788.7 million yuan (inclusive) and not lower than 690 million yuan (inclusive). The strategic placement shares of the Zhonghang Jingneng International Energy REIT (103 million shares) will be unlocked on March 29, 2026. The strategic placement shares of the CITIC Construction Investment State Power Investment New Energy REIT (197.6 million shares) will be unlocked on March 30, 2026. The Dongfanghong Tunnel Expressway REIT will be sold offline and to the public from April 1 - 2, 2026, with a price of 4.68 yuan per share and an effective subscription multiple of 173.69 times [32].

1. Report Industry Investment Rating No information provided in the text. 2. Core Viewpoints of the Report - The China Securities REITs Total Return Index continued to decline this week, with a weekly decline of 0.83% and a decline of 3.71% compared to the end of January, basically erasing the gains since the beginning of 2026. The average daily turnover rate was 0.3%, a historically low value since 2021, and market activity remained low [1][10]. - The "AVIC Beijing Changbao Rental Housing REIT" started the inquiry process. It is a government - allocated rental project with high secondary - market buying value, and its listing increase is expected to reach 25 - 30% [1][2]. - In the secondary market, all asset sectors declined this week, with the warehousing and logistics and industrial park sectors having relatively large declines [4]. 3. Summary by Directory 3.1 Primary Market - **AVIC Beijing Changbao Rental Housing REIT**: Registered and became effective on March 23, 2026, and conducted an inquiry on March 27. It is the second infrastructure public REIT issued in 2026. The underlying assets are three public rental housing projects in the Future Science City of Changping District, Beijing. It belongs to government - allocated rental REITs, with a policy - oriented nature. The rent is about 70% of the surrounding area, and the project has a high secondary - market buying value. The listing increase is expected to reach 25 - 30% [1][18][29]. - **Other Infrastructure REITs**: "Dongfanghong Tunnel Co., Ltd. Expressway REIT" ended the inquiry and entered the issuance stage, with a predicted IRR still above 4%. As of March 27, 2026, 8 projects have received inquiry feedback and 2 projects have been accepted by the exchange [32]. - **Commercial Real Estate REITs**: On March 26, 2026, Guolianan Fuxing Commercial Real Estate REIT was submitted to the Shanghai Stock Exchange. As of March 27, 2026, a total of 16 commercial real estate REITs have been declared, with an expected fundraising scale of over 46.2 billion yuan [3][33]. 3.2 Secondary Market - **Overall Market Performance**: All asset sectors declined this week, with the warehousing and logistics sector declining by 1.34% and the industrial park sector by 1.21%. Only 12 out of 79 individual bonds rose, and 67 declined [4][36]. - **Warehousing Sector**: The decline was the largest this week. Only two individual bonds rose, and the rest declined. The decline of CICC GLP REIT exceeded 10% this month, but the current distribution rate reached 5.63%. The decline of Harvest JD Warehouse Infrastructure REIT stopped, and it plans a secondary expansion. The predicted distribution rate can still be above 4% [39][42]. - **Industrial Park Sector**: The decline was relatively large. Only 2 individual bonds rose, and 18 declined. The current distribution rate of the park sector has risen to 4.79%. For individual bonds with poor fundamentals or large previous declines and a distribution rate of over 5%, there may be opportunities for marginal improvement. It is recommended to focus on park REITs with stable fundamentals, a distribution adjustment mechanism, and a high distribution rate [44]. - **Rental Housing Sector**: All individual bonds declined this week, with an overall decline of 0.78%. The decline of Cathay Fortune Urban Investment Kuanting Rental Housing and China Asset Management CR Land Nest was the smallest, with a distribution rate of about 3.4%. CICC Xiamen Anju has launched a vote for an expansion. The rental housing sector has good fundamentals, and attention can be paid to trading opportunities related to interest - rate adjustments [49][51]. - **Transportation Facilities Sector**: The performance was average. Only 2 individual bonds rose, and the decline of Huaxia Nanjing Transportation Expressway REIT was the largest. It is recommended to focus on road assets with traffic - inducing effects or in economically active areas [52][53]. - **Transaction Activity**: The trading activity of REITs this week remained low. The average daily trading volume was 371 million yuan, the average daily trading volume was 86 million shares, and the average daily turnover rate was 0.30%. The trading of each asset was also relatively inactive [58].

1. Report Industry Investment Rating - Not provided in the given content 2. Core Viewpoints of the Report - The REITs market continued to decline, with the CSI REITs Total Return Index falling 0.83% this week, outperforming the CSI 300 by 0.59 percentage points but underperforming the CSI Dividend by 0.30 percentage points. The market has been down for five consecutive weeks. Before the annual report disclosure, the liquidity of property - type REITs continued to decline, while that of concession - type REITs (mainly transportation and environmental protection projects) rebounded. Warehouse logistics continued to lead the decline, but the decline narrowed. Currently, funds are mainly on the sidelines, waiting for primary - market participation opportunities, and the willingness to participate in the secondary market is generally weak. This week, four first - issue public REITs made new progress, and next week, the concentrated release of REITs annual reports and the unlocking of three products may cause short - term market disturbances [2]. 3. Summary by Directory 3.1 Primary Market - Four first - issue public REITs made new progress this week: the China Aviation Beijing Changbao Rental Housing REIT started the inquiry; the Dongfanghong Tunnel Expressway REIT completed the inquiry with a final price of 4.68 yuan per share, a premium rate of 12.6%, and an effective subscription multiple of 173.69 times, corresponding to an offline capital scale of about 170.7 billion yuan; the GF Xincheng Wuyue Commercial Real Estate REIT was under inquiry; the Guolianan Fuxing Commercial Real Estate REIT was declared, with Sanya Atlantis as the underlying asset. As of March 27, 2026, 20 REITs have been successfully issued since 2025, with a total issuance scale of 40.3 billion yuan [2][13]. 3.2 Secondary Market 3.2.1 Market Review - The CSI REITs Total Return Index closed at 1013.34 points, down 0.83% this week. The year - to - date increase of the CSI REITs Total Return Index is 0.35%, outperforming the CSI 300 by 3.10 percentage points but underperforming the CSI Dividend by 3.99 percentage points. By project attribute, property - type REITs fell 0.88% and concession - type REITs fell 0.75% this week. By asset type, the consumer (- 0.32%), environmental protection and water services (- 0.40%), energy (- 0.73%), and affordable housing (- 0.78%) sectors performed better. Among individual bonds, 12 rose and 67 fell. The top three were China Merchants Expressway REIT (+1.48%), Southern Wanguo Data Center REIT (+1.33%), and BOC Sinotrans Warehouse Logistics REIT (+1.08%), while the bottom three were Huaxia Nanjing Traffic Expressway REIT (- 5.72%), CICC Chongqing Liangjiang REIT (- 4.08%), and Southern Shunfeng Logistics REIT (- 3.63%) [2]. 3.2.2 Liquidity - The average daily turnover rates of property - type and concession - type REITs this week were 0.30% and 0.32% respectively, down 1.08BP and up 4.28BP from last week. The weekly trading volumes were 322 million and 109 million shares respectively, down 3.52% and up 15.28% week - on - week. The data center sector was the most active [2][22]. 3.2.3 Valuation - From the perspective of ChinaBond valuation yields, the yields of property - type and concession - type REITs are 4.09% and 5.09% respectively. The transportation (6.26%), warehouse logistics (5.82%), and park (4.97%) sectors ranked in the top three [2]. 3.3 This Week's News and Important Announcements 3.3.1 This Week's News - On March 24, 2026, the tender announcement for the financial advisor and fund manager of the Changchun Urban Development Investment Holding Group's water infrastructure public REITs project was released, with the opening date on April 14. On March 25, the project for selecting the financial advisor and fund management unit of the Changchun Heating Public REITs project failed to attract enough bidders and was aborted. On March 25, the candidate for the custodian bank of the Taoxichuan Cultural and Creative Block REITs project was announced, with the China Construction Bank Jiangxi Branch as the first - ranked candidate. On March 26, the candidate for the fund manager of the Anhui Jiuhua Mountain Cultural and Health - Care Public REITs was announced [29]. 3.3.2 Important Announcements - The strategic placement shares of the Huitianfu Shanghai Real Estate Rental Housing REIT (508055.SH) will be unlocked on March 31, 2026. The circulation shares before and after unlocking are 150 million and 330 million shares respectively, accounting for 30% and 66% of the total shares. The CICC Xiamen Anju REIT (508058.SH) announced an expansion plan, with a simulated offering scale of 685.8 million yuan at par, and the planned offering amount is not higher than 788.7 million yuan (inclusive) and not lower than 690 million yuan (inclusive). The strategic placement shares of the China Aviation Jingneng International Energy REIT (508096.SH) will be unlocked on March 29, 2026. The circulation shares before and after unlocking are 137 million and 240 million shares respectively, accounting for 22.8% and 39.94% of the total shares. The strategic placement shares of the CITIC Construction Investment State Power Investment New Energy REIT (508028.SH) will be unlocked on March 30, 2026. The circulation shares before and after unlocking are 442.4 million and 640 million shares respectively, accounting for 55.3% and 80% of the total shares. The Dongfanghong Tunnel Expressway REIT (508020.SH) announced its offering, with 98 valid bidders, 699配售 objects, and a total valid subscription share of 3,647,424 million shares, 173.69 times the initial offline offering shares, priced at 4.68 yuan per share. The offline and public subscription dates are from April 1 to 2, 2026 [30].

Summary of Conference Call Company and Industry Overview - The company is a leading player in the agricultural wholesale market, holding a 10% share of the national market and handling 70%-80% of fresh produce circulation. The gross margin in mature markets is 60%, with a net profit margin of 30% [2][3][4]. - The company operates 35 physical markets across over 20 major cities in China, achieving an annual transaction volume of 250 billion yuan [3][4]. - The agricultural industry has shown growth over the past decade, despite current consumer sentiment being relatively weak. The number of large-scale agricultural wholesale markets is decreasing, indicating a trend towards consolidation among leading enterprises [3][4]. Core Business Segments 1. **Physical Wholesale Business**: - This is the primary traditional segment, generating nearly 3 billion yuan in revenue from rent, commissions, parking fees, and management fees. Over 75% of the operational markets are profitable, with a gross margin of 60% and a net profit margin of 30% once they reach maturity [3][4]. 2. **Full Industry Chain Transformation**: - The company has expanded into various areas, including: - **Base Operations**: 460,000 acres of bases with cold chain distribution centers [4]. - **Import/Export Business**: Expected revenue of nearly 2 billion yuan by 2025 from Southeast Asian fruits and South American meats [4]. - **Urban Distribution**: Projected revenue of 1.2 billion yuan by 2025, providing food distribution services to large enterprises and institutions [4]. - **Brand Product Sales**: Revenue of 80 million yuan by 2025, with higher gross margins compared to B2B sales [4]. - Digital payment systems are expected to cover 50 billion yuan of transactions by 2025, supporting the transition to a data-driven business model [4]. 3. **Asset Operation**: - The company is actively revitalizing quality assets, with approximately 60 million yuan in land compensation expected in the first half of 2026 [2][4]. New Project Developments - **Chengdu New Market**: Expected to open in 2028, focusing on wholesale and processing [5]. - **Shanghai Huinan Project**: Currently under construction, serving as a wholesale market and import center for fruits and vegetables [6]. - **Guangzhou Nansha Market**: Planned to start construction in the first half of 2026, leveraging the port for imported food logistics [6]. - **Shenzhen Southern Logistics**: Set to open in Q3 2026, positioned as the largest seafood trading market in South China [6]. Financial and Capital Management - The company plans capital expenditures of 500-800 million yuan in 2026, maintaining a rolling development model [2][13]. - Dividend policy remains stable at 30%-40%, with potential for gradual increases in response to shareholder demands [2][14]. - The company is preparing to launch a public REITs application in 2026 to separate agricultural wholesale assets [2][9]. Risk Management and Strategic Adjustments - The company is implementing tailored strategies for loss-making markets in Wuhan and Changchun, aiming for specific plans to reduce losses by 2026 [6]. - Recent changes in the finance team are part of normal operations within the state-owned enterprise system, with a new financial director expected to be appointed soon [7]. Additional Insights - The company received approximately 60 million yuan in land compensation, with future asset value realization expected through various channels, including urban renewal and government buybacks [8]. - The investment in Yunnan Tianlu Company is aimed at strengthening control over the project, which is currently in a nurturing phase [10]. - The company is focused on resource control in its base operations, utilizing a light asset model to drive surrounding large-scale planting [11][12].

1. Report Industry Investment Rating No information provided in the text[1][2][3] 2. Core Views of the Report - This week (March 16 - 20, 2026), the CSI REITs Total Return Index closed at 1,021.8 points, a week - on - week decline of 0.13% and a decline of 2.91% compared to the end of January, falling back to the level around the beginning of the year on January 6, 2026. The daily average turnover rate dropped to 0.3% this week, the lowest weekly average since 2021, indicating a further decline in market trading sentiment. As of March 20, the total market value of 79 listed REITs reached 223.9 billion yuan, with a week - on - week decline of 0.07%, and the circulating market value was 123.8 billion yuan[1][9] - The "Dongfanghong Tunnel Expressway REIT" registered for effect on March 16, 2026, and will start the inquiry on March 25. It is the first infrastructure public REIT since December 2025. With certain primary market new - issue participation value, the project's IRR is expected to be above 4% if issued at the upper limit of the inquiry range[2][3][22] - In the secondary market, the rental housing and transportation facilities sectors led the gains, while the trading sentiment continued to decline. The performance of various assets was differentiated this week[4][29] 3. Summary According to Relevant Catalogs 3.1 Primary Market - "Dongfanghong Tunnel Expressway REIT" started the inquiry. Its underlying asset is the Qianjiang Tunnel connecting Hangzhou and Jiaxing. The project's evaluation value is 4.158 billion yuan, and the proposed issuance scale is 4.356 billion yuan. The inquiry range's corresponding fundraising scale is 4.012 - 4.7 billion yuan, with a discount - premium range of only ±8% compared to the proposed fundraising scale, smaller than the ±20% of new projects in the second half of 2025[2][17][18] - Other infrastructure REITs: Shanxi Securities Jinzhong Public Investment Ruiyang Heating, AVIC CNNC Group Energy, and E Fund Guangxi Beitou Expressway updated their feedback this week. On March 16, 2026, Guangdong Hongchuan Smart Logistics Co., Ltd. announced plans to issue infrastructure public REITs. On March 19, Tianhong Co., Ltd. decided to withdraw the application for "Zhonghang Tianhong Consumption REIT"[3][25][26] - As of March 20, 2026, 15 commercial real - estate REITs have been declared in the market, with 2 accepted and 13 under inquiry by the exchange, and the expected fundraising scale reaches 46.06 billion yuan, covering various business forms[26][28] 3.2 Secondary Market - This week, the rental housing, transportation facilities, energy facilities, and data center sectors rose by 0.97%, 0.67%, 0.1%, and 0.1% respectively, while other sectors fell. The storage and logistics, municipal environmental protection, and industrial park sectors had relatively large declines[4][29][31] - The rental housing sector led the gains this week. China Asset Management Beijing Affordable Housing and CICC Xiamen Anju led the rise. Considering Xiamen Anju's upcoming expansion, the new project's distribution rate is expected to reach 4.13%, and the combined distribution rate of new and old projects is expected to reach 3.05%[4][32] - The storage sector had the largest decline this week. The decline of CICC GLP REIT may be related to market rumors, and GLP has clarified on its official website. The stop - falling of Harvest JD Warehousing Infrastructure REIT may be related to the approaching renewal of the Langfang project[4][35][36] - The transportation facilities sector performed well this week. Most road sections saw an increase in traffic volume and toll revenue during the Spring Festival travel season, but some projects had a decline in toll revenue due to the free - toll policy for small passenger cars and the decrease in freight vehicle traffic[40] - The industrial park sector showed a differentiated performance. For some individual bonds with poor fundamentals or large previous declines and a distribution rate of over 5%, there may be opportunities for marginal improvement. It is recommended to pay attention to park REITs with stable fundamentals, a distribution adjustment mechanism, and a high distribution rate[45] - The energy facilities sector showed an overall positive trend. Against the background of the Middle East war, there are two main lines in the equity market: the substitution logic of rising oil prices and the "computing - power and electricity coordination"[49] - The data center (IDC) sector had a differentiated performance. The distribution rates of Runze Technology and Wanguo Data are slightly higher than the reference value of 3.33% for rental - type REITs projects, and there may be room for a 10BP increase[51] - The trading activity of REITs continued to decline this week. The daily average trading volume was 370 million yuan, the daily average trading volume was 85 million shares, and the daily average turnover rate was 0.30%, with week - on - week declines of 16.74%, 15.71%, and 0.06 percentage points respectively[53]

1. Report Industry Investment Rating The provided content does not include the industry investment rating. 2. Core Viewpoints of the Report - The launch of commercial real - estate investment trusts (REITs) will have a profound impact on the Chinese public REITs market from three aspects: market structure, valuation ecosystem, and market space. The infrastructure REITs and commercial real - estate REITs will work together to form a multi - level market ecosystem [3]. - In 2026, the secondary market of public REITs will bottom out and is expected to rise. It is recommended to seek structural opportunities in the differentiation [3]. - The performance of various types of REITs in the first quarter of 2026 is expected to show different trends, with quantity taking precedence over price and an inflection point is expected [3]. 3. Summary by Directory 3.1 Commercial Real - Estate REITs Open a New Chapter, Painting a New Blueprint for Public REITs - **Market Development Status**: As of March 13, 2026, the total market value of China's public REITs reached 224.1 billion yuan, with 79 listed products. The expansion mechanism has been continuously implemented, and 9 products have completed expansion. The current public REITs are mainly infrastructure - based, and the market value of five types of assets with strong public attributes accounts for 60% [10]. - **Policy Support**: In December 2025, relevant policies were issued, including promoting the stable and healthy development of commercial real - estate REITs, expanding the market, strengthening secondary - market construction, and optimizing processes and standards [12]. - **Comparison between Commercial Real - Estate REITs and Infrastructure REITs**: In terms of asset types, infrastructure REITs are more focused on people's livelihood support, while commercial real - estate REITs have a higher degree of marketization. In terms of issuers, the issuers of commercial real - estate REITs are more diversified. In terms of review and fundraising use, commercial real - estate REITs have a more concise review process and more flexible use of funds. In terms of operation, commercial real - estate REITs are more closely related to the economic cycle and have greater volatility [16][17]. - **Investor Allocation Decision**: Different economic cycles and accounting measurement models will affect investors' allocation decisions. In the economic up - cycle, commercial real - estate REITs are more likely to be allocated, while in the economic down - cycle, infrastructure REITs with stronger defensive properties are preferred. Different accounting measurement models also lead to different degrees of investors' increase or decrease in positions [20]. - **Original Equity Holders' Considerations**: When choosing the listing platform, original equity holders will consider the fit of asset positioning, financing costs, and financing efficiency. Commercial real - estate REITs have advantages in terms of financing efficiency and flexibility of fund use [25]. 3.2 The Stock Ecosystem Will Be Reconstructed, and the Trillion - Dollar Market Is More Promising - **Rich Asset Structure**: As of March 13, 2026, 15 commercial real - estate REITs have been submitted to the exchange for review. The underlying assets introduce new formats such as hotels and office buildings, and there is a mixed - asset offering for the first time. The composition of original equity holders is more market - oriented, and private and foreign - funded enterprises account for more than 50% [31][34]. - **Reconstructed Valuation Ecosystem** - **Increased Flexibility and Intensified Differentiation in Initial Valuation**: The initial dividend payout ratio of commercial real - estate REITs shows a certain pattern, and the initial yield requirements are adjusted to be linked to the risk - free interest rate, providing greater pricing flexibility for issuers [39]. - **Valuation of Mixed - Asset REITs**: The core advantage of mixed - asset REITs is to improve the stability of future cash flows, but valuation is difficult. Absolute valuation can use the DCF method for different formats and regions, and relative valuation can calculate the weighted dividend payout ratio based on comparable projects [53]. - **Expanded Market Capacity** - **Short - term (2026)**: As the first year of the commercial real - estate REITs pilot, the policy dividend is obvious. The review and issuance rhythm are expected to be faster, and the single - product scale is larger. The infrastructure focuses on mature assets such as highways, energy, warehousing, and affordable rental housing. The total issuance scale of initial offerings and expansions is expected to be about 107.5 billion yuan, and the market scale is expected to reach 327.5 billion yuan by the end of 2026 [56]. - **Medium - term (2027 - 2031)**: The market is still in the stage of expansion, with initial offerings as the main form and expansions as the auxiliary. The initial offerings are mainly commercial real - estate REITs, and the infrastructure is turning to new assets. The expansion scale of infrastructure will gradually exceed the initial offerings. The market scale is expected to reach 940 billion yuan by the end of 2031 [56]. - **Long - term (after 2031)**: The market is expected to enter a stable development stage, with stock expansion and optimization as the main theme. The market space is expected to reach 1.29 - 2.10 trillion yuan [56]. - **Return Expectations**: Under the neutral scenario, it is expected that 35 REITs will be issued in 2026, with an average initial offering scale of 300 million yuan. The expected first - day increase is 10%, and the offline subscription winning rate is 0.44%. The offline subscription return rate for funds ranging from 10 million to 500 million yuan is 1.56% [60][61]. 3.3 Interest Rate Spread Passivation Continues to Deduce, Bottoming Out and Accumulating Strength for Layout - **Market Trends in Q1 2026**: Affected by factors such as the launch of commercial real - estate REITs, concerns about the performance of underlying assets, and expectations of rising risk - free interest rates, the overall market trend is still weak, and trading sentiment is low [68]. - **Five Influencing Factors of Asset Allocation Value**: The five influencing factors include the domestic and international macro - economic environment, interest rate spread advantage, investor structure, richness of investable products, and expansion rhythm [70][72]. - **Analysis of Each Factor** - **Macro - economic Environment**: The performance of underlying assets is affected by the macro - economic environment. PPI turning positive and corporate profit repair may benefit industrial plants and warehousing and logistics REITs, and service consumption expansion may benefit consumer infrastructure REITs [76]. - **Interest Rate Spread Advantage**: As of March 13, 2026, the dividend payout ratio of equity - type REITs is higher than the 10 - year Treasury bond yield and is close to the CSI Dividend Index dividend rate, showing strong dividend cost - effectiveness [79]. - **Investor Structure**: Long - term funds such as securities companies and insurance companies are the main holders of REITs, but their low trading activity restricts the market liquidity. Policies to introduce long - term funds and expand the investment scope of public funds are expected to improve the situation [89][95]. - **Richness of Investable Products**: It is expected that China will launch sub - industry REITs indices in the future, but the promotion of REITs ETFs may be cautious due to low market liquidity [96]. - **Expansion Rhythm**: The REITs project reserve is relatively sufficient. The concentrated issuance of the first batch of commercial real - estate projects may cause a siphon effect on the stock market in the short term, but it will attract incremental funds in the long term [102]. - **Investment Strategy in 2026**: The secondary market of public REITs is expected to bottom out and rise. It is recommended to pay attention to structural opportunities in different asset types, such as affordable rental housing, consumer, warehousing and logistics, industrial park, energy, transportation, public utilities, and IDC REITs [105]. 3.4 Q1 2026 Performance Outlook: Quantity Precedes Price, and an Inflection Point Is Expected - **Affordable Rental Housing REITs**: The rent of market - oriented projects is under pressure, while the quantity and price of public rental housing are stable. After the Spring Festival, the rent of some market - oriented projects may fluctuate seasonally, and the rent of public rental housing is expected to be stable. Attention should be paid to the regional projects with improved second - hand housing rent [107]. - **Consumer REITs**: The performance is generally good, but it is still under pressure to maintain high growth. The performance of regional shopping centers is expected to increase year - on - year in Q1 2026, while the revenue of community - level shopping centers may decline. The sales of outlet malls are expected to increase in Q1 2026, but may decline in the traditional off - season [115][116]. - **Warehousing and Logistics REITs**: The supply clearance progress varies, and the rent in Q1 2026 is expected to be weakly differentiated. The rent of some projects may be adjusted downward, and the occupancy rate is expected to be stable or improve [119][120]. - **Industrial Park REITs**: The overall demand is weak, and the rent continues to decline. The tenant stickiness of factory buildings is strong, and the rent follows the market. The business parks are still in the stage of destocking, and the performance bottom may come in the second half of the year [123][124]. - **Transportation REITs**: The performance in Q1 2026 is expected to be "pressured in the front and stable in the back". The Spring Festival disturbance and road network differentiation coexist. Attention should be paid to the projects in regions with strong economic resilience and controllable road network planning [126][127]. - **Energy REITs**: It is expected that the quantity and price of hydropower will be stable in Q1 2026, the photovoltaic electricity price will rise steadily, the wind power price will decline slightly, and the impact of gas - electricity linkage on gas - fired power generation is controllable. Attention should be paid to trading opportunities [128][129]. - **Public Utilities REITs**: The quantity is generally under pressure, and there may be a risk of price decline in waste treatment projects. Attention should be paid to the changes in the source of treatment volume and the progress of price adjustment of some projects [132][134]. - **IDC REITs**: The long - term contracts with major customers lock in the quantity and price, and the basic situation is expected to be stable. Attention should be paid to the cost - side changes and the expansion progress of IDC REITs [135].

1. Report Industry Investment Rating No information provided in the given content. 2. Core View of the Report - This week, the REITs market continued to decline, with the CSI REITs Index falling 0.5% week - on - week. Only municipal facilities and new infrastructure saw gains, while other types declined. The order of weekly price changes of major indices was: CSI 300 > CSI Aggregate Bond > CSI REITs > CSI Convertible Bond. As of March 13, 2026, the dividend yield of equity REITs was 50BP lower than the average dividend yield of CSI Dividend stocks, and the spread between the average internal rate of return of concession - type REITs and the 10 - year Treasury yield was 331BP. Recently, the progress of commercial real - estate REITs has accelerated, with the application of Hongtu Innovation Xinghe REIT providing an important sample for private enterprises' participation, and the tender for Guangzhou Langham Hotel REIT enriching the hotel format and the revitalization path for local state - owned enterprises, demonstrating the continuous diversification of market players and asset types [1]. 3. Summary by Relevant Catalogs 3.1 Secondary Market Trends - **Index Performance**: As of March 13, 2026, the closing price of the CSI REITs (closing) Index was 786.17 points, with a weekly change of - 0.5%. It performed better than the CSI Convertible Bond (- 1.1%) but worse than the CSI Aggregate Bond Index (- 0.1%) and the CSI 300 Index (0.2%). Year - to - date, the order of price changes of major indices was: CSI Convertible Bond (+ 3.4%) > CSI REITs (+ 1.0%) > CSI 300 (+ 0.8%) > CSI Aggregate Bond (+ 0.6%). In the past year, the return rate of the CSI REITs Index was - 7.5%, with a volatility of 6.8%. Its return rate was lower than those of the CSI Convertible Bond Index, CSI 300 Index, and CSI Aggregate Bond Index, and its volatility was lower than those of the CSI 300 Index and CSI Convertible Bond Index but higher than that of the CSI Aggregate Bond Index [2][6][8]. - **Market Size and Turnover**: The total market value of REITs on March 13 was 224.1 billion yuan, a decrease of 900 million yuan from the previous week. The average daily turnover rate for the whole week was 0.36%, a decrease of 0.01 percentage points from the previous week [2][8]. - **Performance by REITs Type**: In terms of different project attributes, the average weekly price changes of equity - type REITs and franchise - type REITs were - 0.6% and - 0.2% respectively. In terms of different project types, except for municipal facilities and new infrastructure, other types of REITs declined. The top three REITs in terms of weekly price increase were Huitianfu Jiuzhoutong Pharmaceutical REIT (+ 1.86%), Guotai Haitong Jinan Energy Heating REIT (+ 1.45%), and Southern Runze Technology Data Center REIT (+ 1.43%) [3][11][15]. - **Trading Activity**: New infrastructure REITs had the highest daily turnover rate, with an average daily turnover rate of 0.9%. Transportation infrastructure REITs had the highest proportion of trading volume this week, accounting for 22.6% of the total REITs trading volume. The top three REITs in terms of net inflow of main funds were Huaxia Joy City Commercial REIT (8.04 million yuan), Huitianfu Jiuzhoutong Pharmaceutical REIT (5.13 million yuan), and Huaxia Yuexiu Expressway REIT (5 million yuan) [3][18][19]. 3.2 Primary Market Issuance - From January 1 to March 13, 2026, there were 4 REITs products in the in - inquiry stage, 16 in the feedback stage, 1 in the application stage, and 15 commercial real - estate REITs officially applied on the exchanges [21]. 3.3 Valuation Tracking - **Valuation Metrics**: REITs have both bond and equity characteristics. As of March 13, the average annualized cash distribution rate of public - offering REITs was 6.4%. From the equity perspective, relative net - value premium rate, IRR, and P/FFO were used to judge the valuation of REITs. The relative net - value premium rate reflects the relationship between the market value and fair value of the fund, similar to the PB indicator of stocks; IRR is the internal rate of return calculated by the cash - flow discount method; P/FFO is the current price divided by the cash flow generated from operations [23]. - **Valuation Comparison**: Equity - type REITs and franchise - type REITs differ in asset rights, income sources, term characteristics, and risk characteristics. Equity - type REITs focus on dividend yield, while franchise - type REITs focus on internal rate of return. As of March 13, 2026, the dividend yield of equity REITs was 50BP lower than the average dividend yield of CSI Dividend stocks, and the spread between the average internal rate of return of franchise - type REITs and the 10 - year Treasury yield was 331BP [24]. 3.4 Industry News - On March 10, Hongtu Innovation Xinghe Group Commercial Real - Estate REITs were officially applied to the Shenzhen Stock Exchange. The original equity holder is Xinghe Industry (Shenzhen) Co., Ltd., a subsidiary of Xinghe Holdings. This application is an important case for private enterprises' participation in the commercial real - estate REITs pilot [31]. - On March 10, Guangzhou Haizhu Urban Construction and Development Group Co., Ltd. issued two tender announcements for the public selection of fund managers, plan managers, and financial advisors for the Langham Hotel Commercial Real - Estate Public - Offering REITs project. The hotel is a core asset of a district - level state - owned enterprise [31].

1. Report Industry Investment Rating No relevant content provided. 2. Core Viewpoints of the Report - The trading volume in the public REITs market remains sluggish, with the CSI REITs Total Return Index showing a decline and low daily turnover rate [1][9]. - Most asset sectors in the secondary market are experiencing a decline, except for the energy sector which is rising. Different sectors have their own influencing factors and investment opportunities [2]. - Tianjin Changrong Co., Ltd. plans to apply for a commercial real - estate REIT, and there are ongoing developments in the primary market for REITs applications and reviews [4]. 3. Summary by Directory Secondary Market - **Overall Performance**: The CSI REITs Total Return Index closed at 1,027.6 points this week, down 0.79% week - on - week and 2.36% from the end of January. The daily turnover rate was only 0.37%, lower than the 60 - day average of 0.46%. The total market capitalization of 79 listed REITs was 225 billion yuan, down 1.06% week - on - week [1][9]. - **Sector Performance** - **Data Center**: Led the decline, with Runze and Wanguo dropping 3.73% and 3.44% respectively. Affected by the equity market and approaching the distribution rate reference value, there is limited room for further increase. However, they can be considered for allocation based on the AI computing power market and expansion plans [2][20]. - **Energy**: The only sector that rose this week. CITIC Construction Investment State Power Investment New Energy had a 5 - day consecutive increase, possibly related to the announced factoring financing arrangement. It can be continuously monitored before the March 29 unlocking [2][24]. - **Consumption**: Continued to decline. The increasing number of commercial real - estate REIT applications may limit the upward space of listed consumption facility REITs. The average distribution rate of the sector rose to 3.87%. Attention can be paid to new subscriptions of commercial real - estate REITs and adjustment opportunities of consumption REITs [3][27]. - **Rental Housing**: Also continued to decline. The distribution rate rose to about 3.1%. Attention can be paid to trading opportunities related to interest rate adjustments, especially for public rental housing bonds with stronger policy attributes [3][30]. - **Industrial Park**: Weak overall. Some projects have high distribution rates, but it is recommended to carefully focus on those with stable fundamentals, income distribution adjustment mechanisms, and high distribution rates [31]. - **Transportation**: The decline was relatively small, with individual bonds showing mixed performance. It is recommended to comprehensively evaluate traffic flow based on January and February data [36]. Primary Market - On March 5, 2026, Tianjin Changrong Technology Group Co., Ltd. announced that it plans to cooperate with China Merchants Fund to initiate the establishment of China Merchants Changrong Commercial Real - Estate REIT, using Changrong Building as the underlying asset. As of March 6, 2026, a total of 14 commercial real - estate REITs have been applied for in the market [4][47]. - The exchange has provided review feedback on 5 commercial real - estate REITs this week and 6 last week. In addition, 2 infrastructure REITs were accepted by the exchange this week [4][48].

1. Report Industry Investment Rating No information provided in the given content. 2. Core Viewpoints of the Report - The REITs market continued to adjust this week, with the decline narrowing compared to last week. After two consecutive weeks of gains, the data center sector had a significant correction, still showing an oversold situation after giving back its gains. The property - type REITs have been weakening for two weeks after the Spring Festival, and the spread with the 10Y Treasury bond widened by 13BP to 191BP, at the 55% quantile since 2024, with the cost - performance ratio rising [2]. - A total of 9 first - issue public REITs made new progress this week, including 4 new applications last week being accepted and 5 new commercial real - estate REITs entering the exchange inquiry stage [2]. - This week, the CSI REITs Total Return Index (932047.CSI) closed at 1027.62 points, down 0.79%, outperforming the CSI 300 by 0.28 percentage points and underperforming the CSI Dividend by 1.37 percentage points. The year - to - date gain of the CSI REITs Total Return Index is 1.76%, outperforming the CSI 300 by 1.10 percentage points and underperforming the CSI Dividend by 4.72 percentage points [2]. 3. Summary According to Relevant Catalogs 3.1 Primary Market - A total of 9 first - issue public REITs made new progress. Among them, 4 new applications last week (Guangfa Xincheng Wuyue REIT, Jiashi Shoukai REIT, Guojin Jize New Energy REIT, and Jianxin Tianjin Lingang Port REIT) have been accepted, and 5 new commercial real - estate REITs have entered the exchange inquiry stage. As of March 6, 2026, 20 REITs have been successfully issued since 2025, with a total issuance scale of 40.3 billion yuan [2][13]. 3.2 Secondary Market 3.2.1 Market Review - The CSI REITs Total Return Index closed down 0.79% this week. By project attribute, property - type REITs fell 1.44%, and franchise - type REITs fell 0.10%. By asset type, the energy (+0.48%) and environmental protection and water services (+0.30%) sectors performed better, while the transportation (-0.47%) and park (-0.99%) sectors were relatively weak. Among individual securities, 18 rose and 59 fell. CITIC Construction Investment State Power Investment New Energy REIT (+2.18%), Huaxia Nanjing Traffic Expressway REIT (+1.89%), and China Merchants Expressway REIT (+1.87%) led the gainers, while CICC Anhui Expressway REIT (-4.41%), China Merchants Science and Technology REIT (-4.32%), and Southern Runze Technology Data Center REIT (-3.73%) were the biggest losers [2]. 3.2.2 Liquidity - The average daily turnover rates of property - type and franchise - type REITs this week were 0.36% and 0.40% respectively, with a change of - 1.50BP and +12.15BP compared to last week. The trading volumes this week were 395 million and 134 million shares respectively, with a week - on - week increase of 21.80% and 80.19%. The data center sector had the highest activity [2][26]. 3.2.3 Valuation - From the perspective of ChinaBond valuation yields, the yields of property - type and franchise - type REITs are 3.97% and 4.87% respectively. The transportation (5.99%), warehousing and logistics (5.54%), and park (4.77%) sectors ranked among the top three [2]. 3.3 This Week's News and Important Announcements - **News**: Changchun Heating Group launched a tender for the financial advisor and fund management unit of its public REITs project; Anhui Jiuhuashan Cultural and Health Group launched a tender for the fund manager of its infrastructure public REITs project; Tianjin Changrong Technology Group plans to use Changrong Building held by its subsidiary as the underlying asset to apply for the issuance of commercial real - estate REITs; China Securities Regulatory Commission Chairman Wu Qing said that during the 15th Five - Year Plan period, efforts will be made to strengthen the construction of the bond, REITs, and asset - securitization markets; Shenzhen Stock Exchange plans to expand the securities code range for commercial real - estate REITs [34]. - **Announcements**: Multiple REITs released their January 2026 operating data, including traffic volume and toll revenue; some REITs had strategic placement shares lifted from lock - up; Zhongyin Sino - Sinotrans Warehousing and Logistics REIT announced its first dividend in 2026 [34][36].