Core Viewpoint - The recent policy initiatives from the National Development and Reform Commission (NDRC) are aimed at promoting the issuance of Real Estate Investment Trusts (REITs) in the cultural tourism sector, addressing the urgent financing needs of the industry and facilitating a shift from heavy asset investment to a model that combines light asset operation with financial exit strategies [1][2][3]. Group 1: Policy Developments - The NDRC issued the "Notice on Further Improving the Normalized Application and Recommendation Work for Infrastructure REITs" (referred to as "Document 782"), which encourages the exploration of new asset types for REIT issuance, particularly in cultural tourism and elderly care facilities [1][3]. - Document 1014, released in 2024, expands the scope of eligible projects to include natural cultural heritage and 4A-level tourist attractions, significantly increasing the number of potential projects from over 300 to more than 4,500 [2][3]. Group 2: Market Potential - The total assets of state-owned enterprises in the cultural tourism sector amount to 12.7 trillion yuan, with 83% classified as non-current assets. The average debt ratio exceeds 65%, and interest expenses account for 38% of operating profits [2][3]. - If a 10% asset securitization rate is applied, the potential market size for cultural tourism REITs could exceed 1 trillion yuan [3]. Group 3: Project Initiatives - Over 20 cultural tourism REITs are currently in preparation, with notable projects including Lijiang Tourism Investment's plan to issue over 2.5 billion yuan in REITs based on the Yulong Snow Mountain [4]. - In the second quarter of 2025, six cultural tourism sites initiated REIT project tenders, reflecting a 50% increase from the previous quarter, indicating a strong demand for asset securitization in the industry [4]. Group 4: Challenges and Solutions - The issuance of cultural tourism REITs faces challenges such as asset ownership issues, where many scenic areas have natural resources owned by the state, complicating the securitization process [5][6]. - The regulatory environment is complex, with multiple departments involved in the management of high-quality scenic areas, leading to increased uncertainty and time costs for REIT projects [5][6]. Group 5: Future Directions - The inclusion of supporting hotels within scenic areas as eligible underlying assets provides a pathway for creating diversified revenue streams, reducing reliance on ticket sales [8]. - Private investment projects are highlighted as a potential breakthrough, as they often have clearer ownership structures and operational autonomy, which may facilitate quicker progress in REIT issuance [9][10].

1. Report Industry Investment Rating There is no information provided in the report regarding the industry investment rating. 2. Core Views of the Report - The National Development and Reform Commission issued Document No. 782 on September 12, 2025, aiming to further improve the normalized application mechanism and promote the expansion of the public - offering REITs market in terms of scale, scope, and fund - raising [4][6]. - As of September 12, 2025, 74 public - offering REITs had their initial public offerings, and 6 conducted additional fund - raising. The overall listing rhythm is normal, but the number of accepted projects has decreased, and it is necessary to accelerate project reserves [4][17]. - Document No. 782 simplifies procedures to support mixed - asset additional fund - raising, which is expected to speed up the process, widen the range of available assets, and diversify risks, but also places higher requirements on fund managers [4][12]. - The document encourages large - scale projects and those with a high proportion of net recovered funds. The launch of an information platform is expected to enhance the transparency of application and approval [4][7]. - The release of Document No. 782 is expected to further accelerate the expansion of the public - offering REITs market, especially in additional fund - raising. It is recommended to focus on leading enterprises with abundant operating assets and strong intentions for additional fund - raising, new projects with a significant spread between issuance yield and secondary - market yield, and projects with a high safety margin for distributable yield [4]. 3. Summaries Based on Relevant Catalogs 3.1. Adding Force to Expand Scale, Scope, and Encouraging Large - Scale and High Net - Recovered - Fund - Ratio Projects - The National Development and Reform Commission issued Document No. 782 to promote the normalized application and issuance of public - offering REITs and further improve the application mechanism [6]. - In terms of scale, large - scale projects can significantly promote market expansion, have cost advantages at the issuance end, meet the investment needs of large - scale institutional investors, and reduce trading difficulty and costs. Projects with a high proportion of net recovered funds will be prioritized for recommendation [7]. - In terms of types, it is necessary to accelerate the normalized application of mature asset - type projects, explore the issuance of new asset - type projects, and support the issuance and listing of private investment projects [9]. 3.2. Simplifying Procedures to Support Mixed - Asset Additional Fund - Raising - Document No. 782 shortens the interval between the initial public offering and additional fund - raising application, which helps more initial projects conduct additional fund - raising and requires fund managers to identify potential projects in advance [12]. - It allows mixed - asset additional fund - raising, widens the range of available assets, and diversifies risks but also poses higher management requirements. Additional fund - raising is a standard feature in mature global REITs markets, and leading enterprises will have more advantages [12]. 3.3. Emphasizing Public - Offering REITs and Strengthening Project Reserves - As of September 12, 2025, the issuance and review speed of public - offering REITs in 2025 is progressing steadily, but it is necessary to strengthen subsequent project reserves. The number of accepted projects has decreased compared to the same period last year [17]. - Document No. 782 requires provincial development and reform departments and relevant central enterprises to attach importance to REITs and strengthen project reserves, which is conducive to promoting local application and approval and increasing project reserves [17]. 3.4. Launching an Information Platform to Enhance Application and Approval Transparency - Document No. 782 proposes to launch an information system for infrastructure REITs projects, standardize and digitize the entire application process, and improve the policy system through regular communication [21]. - The information platform is expected to enhance the transparency of application and approval. Issuers/fund managers can input project information and upload compliance documents, and keep track of the project status during the review process [21]. 3.5. Overview of Valuations of Listed Public - Offering REITs - The report provides detailed information on listed public - offering REITs, including their asset types, market values, prices, yields, and other indicators, which helps investors understand the performance and valuation of different REITs [24].

Core Viewpoint - The National Development and Reform Commission has issued a notice to promote the high-quality development of infrastructure REITs through measures such as expanding the market, increasing fundraising support, and ensuring project quality [1][2]. Group 1: Market Expansion and Asset Types - The notice aims to expand the asset range and increase the market scale and quality, focusing on both mature and new asset types [2][3]. - It encourages the submission of large-scale projects in established asset categories like toll roads and clean energy while exploring new asset types such as railways, cultural tourism, and elderly care facilities [2][3]. - The introduction of new asset types is seen as a crucial step to diversify REITs, attracting more investment and enhancing market vitality [2][3]. Group 2: Support for Private Investment - The notice emphasizes support for qualified private investment projects, addressing the current high proportion of state-owned enterprise projects in the REITs market [3]. - It aims to lower costs and improve accessibility for private capital, which holds a significant amount of quality assets and has a pressing need for financing [3]. Group 3: Simplified Processes and Growth Potential - The notice provides clear guidelines for the process of expanding existing REITs to acquire new projects, simplifying the application process [4]. - It encourages existing REITs to evolve from single project financing tools to sustainable asset operation platforms, allowing for continuous injection of quality assets [4]. - This transformation is expected to create industry-leading REITs, providing long-term capital operation tools for original equity holders and more growth-oriented investment options for investors [4].

Core Viewpoint - The National Development and Reform Commission (NDRC) has issued a notice to enhance the regular application and recommendation process for Real Estate Investment Trusts (REITs) in the infrastructure sector, aiming to promote new asset types and support private investment projects [1][2]. Group 1: Promotion of New Asset Types - The notice emphasizes the active promotion of new asset types for REITs, including exploring issuance paths for projects like railways, ports, ultra-high voltage transmission, communication towers, market-oriented rental housing, cultural tourism, specialized markets, and elderly care facilities [3][4]. - It encourages the submission of high-quality infrastructure projects that align with national strategies and policies, prioritizing those that can significantly contribute to the expansion of the REITs market [3]. Group 2: Support for Private Investment - The NDRC calls for provincial development and reform departments to establish a specialized coordination service mechanism for private investment projects, facilitating compliance and accelerating the resolution of issues during project cultivation [3][4]. - The initiative aims to increase the number of eligible private investment projects that can be issued and listed as REITs [3]. Group 3: Capital Operation Platform - The notice outlines the support for expanding the asset range for newly acquired projects through existing listed infrastructure REITs, allowing for the integration of similar and related projects across regions [4]. - It highlights the importance of maximizing the scale of net recovery funds from projects, with a focus on those with a higher proportion of net recovery funds to total fund issuance, which will be prioritized for recommendation [4].

Core Viewpoint - The National Development and Reform Commission (NDRC) has issued a notice to support the normalization of Real Estate Investment Trusts (REITs) in the infrastructure sector, emphasizing the expansion of project acquisition and simplification of the application process [1][5]. Group 1: Policy Support and Implementation - The notice encourages existing infrastructure REITs to raise funds through expansion to acquire quality assets, with a streamlined application process for new projects after six months of initial listing [5][6]. - The expansion policy is expected to enhance liquidity and activity in the secondary market for infrastructure REITs, attracting long-term capital from insurance and social security funds [2][6]. Group 2: Market Impact and Opportunities - The first expansion of the Huaxia Beijing Affordable Housing REIT raised net funds of 555 million yuan, which will be used to support public rental housing projects in Beijing, adding 1,412 new public rental units [2][5]. - The expansion mechanism is seen as a way to optimize asset portfolios, diversify investment risks, and improve the dividend capacity of REITs, with international experience indicating that expansion is a key driver for market growth [6][7]. Group 3: Regional Development and Challenges - The Beijing Municipal Development and Reform Commission is promoting a dual-drive model of "initial issuance + expansion," with approximately 2.8 billion yuan raised from completed expansions of logistics and affordable housing REITs [7]. - Cross-regional expansion poses challenges for asset management, including differences in property rights, land nature, and tax policies, necessitating enhanced compliance and risk control measures from managers [7].

Core Viewpoint - The National Development and Reform Commission (NDRC) has issued a notice to support the normalization of real estate investment trusts (REITs) in the infrastructure sector, aiming to simplify the project acquisition process and broaden the asset range for new acquisitions [1] Group 1: Policy Support and Implementation - The notice encourages existing infrastructure REITs to raise funds through expansion to acquire quality assets, with a streamlined application process for new acquisitions after six months of initial listing [2][3] - The expansion of REITs is expected to enhance market liquidity and attract long-term capital, creating a positive cycle of asset expansion, liquidity improvement, and capital aggregation [2][4] Group 2: Market Impact and Opportunities - The expansion of infrastructure REITs is anticipated to lead to a significant increase in projects focused on transportation, energy, logistics, and rental housing, potentially establishing a nationally influential capital operation platform [1][4] - Successful examples include the Huaxia Beijing Guarantee Housing REIT, which raised 555 million yuan for public rental housing projects, indicating the effectiveness of the expansion strategy [2] Group 3: Challenges and Considerations - Cross-regional expansion poses challenges such as differences in asset ownership registration, land nature, and tax policies, which require enhanced compliance and risk management from operators [5] - The NDRC will recognize and commend regions with high-quality project reserves and active support for project applications, promoting a competitive environment for REITs [5]

Core Viewpoint - The C-REITs market experienced fluctuations in August, with a total market capitalization of 218.8 billion yuan and a decline in the China Securities REITs Total Return Index by 2.61% [2][3][7]. Market Performance - The China Securities REITs Total Return Index showed a downward trend in early August, followed by a rebound towards the end of the month, closing at 1073.33 [3]. - The average daily turnover in August was 696 million yuan, reflecting a 15% increase month-on-month, with an average turnover rate of 0.70% [3][15]. Sector Analysis - The data center sector saw a significant increase of 36.55%, while the rental housing sector led the decline with a drop of 5.45% due to rising long-term interest rates [3]. - The valuation pressure across various sectors has eased, with the spreads between different sectors and the 10-year government bond yields showing mixed trends [4]. Investment Opportunities - There are potential investment opportunities in high-quality projects that have seen price corrections, particularly in sectors with strong fundamentals such as rental housing and municipal environmental protection [5]. - The market is advised to focus on projects with stable tenant structures and those that have shown marginal stability in fundamentals [5]. Risk Appetite and Market Sentiment - The market's risk appetite appears to be contracting, as indicated by the fluctuations in major asset classes and the performance of the C-REITs index [4]. - The performance of the C-REITs market is closely linked to the broader capital market sentiment, which may influence future stability and recovery [4].

Report Industry Investment Rating No relevant content provided. Core Viewpoints of the Report - Three regions issued documents to support REITs issuance, and two data center REITs completed fundraising. This week, 4 highway, 1 energy, and 1 industrial park REITs released semi - annual operating data, with performance declining for all but 2 highway REITs [2]. - As of July 18, 2025, 14 REITs have been successfully issued this year, with a total issuance scale of 27.84 billion yuan, a year - on - year increase of 2.0%. This week, 7 new - issue and 1 expansion - issue REITs made progress [3]. - The CSI REITs Total Return Index closed at 1104.55 points this week, up 0.06%, underperforming the CSI 300 by 1.03 percentage points and outperforming the CSI Dividend by 0.91 percentage points. The index has risen 14.12% year - to - date, outperforming the CSI 300/CSI Dividend by 10.98/15.46 percentage points [3]. Summary by Directory 1. Primary Market: New Issuance of 2 Data Center REITs - As of July 18, 2025, a total of 73 REITs have been issued, with a total issuance scale of 191.1 billion yuan and a total market value of 204.6 billion yuan. Among them, there are 49 equity - type and 24 franchise - type REITs [11]. - This week, 7 new - issue REITs made progress, including 2 data center REITs that completed fundraising. One expansion - issue REIT, the AVIC Jingneng Photovoltaic REIT, submitted a response to feedback [3][12][14]. 2. Secondary Market: This Week, the Sector's Market Performance was Differentiated, and Liquidity Continued to Decline 2.1 Market Review: The CSI REITs Total Return Index Rose 0.06% - The CSI REITs Total Return Index closed at 1104.55 points this week, up 0.06%, underperforming the CSI 300 by 1.03 percentage points and outperforming the CSI Dividend by 0.91 percentage points. Year - to - date, it has risen 14.12%, outperforming the CSI 300/CSI Dividend by 10.98/15.46 percentage points [3]. - By project attribute, equity - type REITs rose 0.22% this week, while franchise - type REITs fell 1.07%. By asset type, the consumer (+0.41%), affordable housing (+0.23%), ecological environmental protection (+0.21%), and industrial park (-0.04%) sectors performed well [3]. - Among individual bonds, 39 rose and 29 fell. The top three were China Merchants Science and Technology Innovation REIT (+3.05%), China Huarong JINMAO Commercial REIT (+2.24%), and CICC Hubei KeTou Optics Valley REIT (+2.08%); the bottom three were Ping An Ningbo Transportation REIT (-5.38%), CITIC Construction Investment MingYang Smart Energy REIT (-2.15%), and China Huarong Tebian Electric New Energy REIT (-2.04%) [3]. 2.2 Liquidity: The Ecological Environmental Protection Sector was the Most Active - The average daily turnover rate of CSI REITs this week was 0.56%, a decrease of 0.70 BP from last week. The average daily turnover rates of equity - type/franchise - type REITs were 0.58%/0.48%, a decrease of 4.50/3.59 BP from last week. The trading volumes during the week were 432 million and 130 million shares respectively, a week - on - week decrease of 6.53%/6.99% [3][22]. - The ecological environmental protection sector had the highest activity level [22]. 2.3 Valuation: The Energy Sector had a Higher Valuation - The yields of equity - type/franchise - type REITs based on ChinaBond valuations were 3.89%/4.22%. The transportation (5.44%), warehousing and logistics (5.18%), and industrial park (4.85%) sectors ranked in the top three [3][29]. 3. This Week's News and Important Announcements News - On July 10, 2025, the Kunshan government proposed in a draft policy that enterprises conducting refinancing through REITs would receive a 0.5‰ reward based on the raised funds, with a maximum annual reward of 2 million yuan per enterprise [33]. - On July 15, 2025, the governments of Guangxi and Heilongjiang issued documents supporting the issuance of REITs in fields such as artificial intelligence, digital, tourism, and 4A - level and above ice - snow tourism scenic areas [2][33]. Important Announcements - Two new - issue REITs completed fundraising, and their public subscription multiples were 457 and 318 times respectively, indicating strong market response [2]. - Multiple REITs released operating data, dividend announcements, and share - unlocking notices [34][35].

Core Insights - The report highlights the impressive performance of China's mainland REITs, which is reshaping the Asian REITs market landscape [1] Market Development - The report from Colliers International analyzes the recent development of China's public REITs market, focusing on the characteristics and operational performance of different asset types from a bottom-up perspective [1] - In the context of an overall contraction in the Asian market, a divergence in development has been observed between mature and emerging markets [1] Market Positioning - China's mainland REITs market has entered a phase of normalized issuance, surpassing Hong Kong in market capitalization, and now ranks alongside Japan and Singapore as one of the three largest markets in Asia, collectively accounting for approximately two-thirds of the total market capitalization in the region [1] - Emerging market REITs in Southeast Asia and South Asia are also experiencing a general expansion in market capitalization [1]