China’s private REITs offer new funding path for property firms

China’s nascent private REIT market has emerged as a rare bright spot for cash-strapped developers, with a record fundraising pipeline of $12 billion for this year, driven by rising investor demand for higher yields.
Launched in 2023, the private REIT market, restricted to professional investors, has grown rapidly. Developers are drawn to its quicker and more relaxed approval process compared with public REITs and its prospects for revitalising income-generating assets amid the country’s property sector slump.