As policymakers broaden the scope of publicly listed real-asset vehicles, China’s C-REIT market has moved rapidly from a 2021 pilot focused on income-generating infrastructure into a multi-asset platform with scale and regional relevance. Total issuance has reached RMB207 billion across 77 projects as of end-November. By the end of last month, nearly 80 C-REITs had been launched, raising more than US$28.3 billion, while the market’s value expanded by roughly 85% last year, placing China among Asia’s top three REIT markets for the first time in 2024.
China’s C-REITs have swiftly scaled from a 2021 infrastructure pilot into a top-three Asian REIT market.
The inflection point for commercial participation was reinforced on December 1, when the NDRC updated its eligibility list to admit assets such as shopping centres, hotels, and office buildings, complementing prior coverage that already spans more than 10 categories, including industrial estates, data centres, and government-subsidised rental housing. The NDRC said the revisions are intended to better promote the role of infrastructure REITs in supporting the real economy. Recent additions have also encompassed Grade A office buildings and 4+ star hotels, signalling a broader template for consumer-facing and urban-service properties.
This widening perimeter follows the March 2025 second batch of offerings, which targeted power-grid and cold-chain logistics assets, and lifted the C-REIT segment to about USD 75.35 billion (RMB 550 billion) in market capitalisation.
Retail-oriented listings are expected to be shaped materially by the Greater Bay Area, where assets are viewed as poised to lead a surge and potentially be oversubscribed in the first wave of commercial C-REITs over the next two years. Deloitte China has cited strong demand for GBA assets at the APREA GBA Conference, while Cushman & Wakefield has advised on IPOs and expansions for 46 C-REITs, including nine of the twelve listed Retail REITs. The recent IPO of CapitaLand Commercial China-REIT has been referenced as a marker of this market leadership and of the region’s alignment with high-quality urban development and urban renewal objectives.
Investor positioning has been supported by prospectuses projecting an average first-year dividend yield near 5.0%, exceeding government bonds amid a near-100-basis-point decline in risk-free rates over the past two years. With predictable cashflows derived from underlying operating income, retail properties have remained popular alongside rental housing, while property companies have raised about RMB 100 billion via REIT listings. The expansion is also framed as a deleveraging and capital-allocation mechanism, with further asset inclusion expected to improve transaction liquidity for offices and hotels. Like their Singapore counterparts, C-REITs are required to distribute at least 90% of taxable income to maintain their structural tax advantages and ensure regular income flow to investors.
