The China Securities Regulatory Commission said in a statement on Friday that it is soliciting public opinions on launching a pilot program for commercial real estate investment trusts, a move designed to broaden financing channels and support the stable development of the property sector.

The initiative seeks to implement the new set of nine guidelines on capital markets and decisions by the central authorities, aimed at fostering high-quality development in the REITs market while serving the real economy, the regulator said.

According to the draft announcement, commercial REITs are defined as closed-end, publicly offered securities investment funds. These funds will hold commercial properties to generate stable cash flows and distribute yields to investors.

The draft rules, consisting of eight articles, outline specific requirements for fund registration, due diligence, and the responsibilities of fund managers and custodians. The commission emphasized that fund managers must assume active responsibility for operational management to ensure the quality of the underlying assets.