Workers construct a railway bridge on the Hangzhou-Wenzhou high-speed railway line in Taizhou, Zhejiang province. [Photo by Wang Huabin/For China Daily]

The Shanghai Stock Exchange debuted its first batch of five REITs (real estate investment trusts) on June 21.

Among the five REITs is an expressway investment trust operated by Zheshang Securities Co, which is based in Hangzhou, capital of Zhejiang province. Its offer price rose 4.97 percent on the first day of the public offering.

The strategic investors for the Zhejiang-based REIT include China Insurance Investment Fund, Shanghai Airport, Shougang Fund, China Orient Asset Management Co, and Everbright Wealth Management Co.

REIT is a type of instrument that invests in in-use infrastructure projects and distributes project cash flow to investors. The launch of REITs, which is part of China's ongoing capital market reforms, will help existing mobile assets to fund infrastructure projects and enhance the management efficiency of such projects.