Established leading market position in Guangzhou. Strong parental support. Aggressive growth appetite. Low profitability, which we expect to only recover moderately. Some geographic concentration. High leverage due to aggressive land acquisitions amid declining margins. Diversified funding sources and low funding costs. Financial flexibility provided by Yuexiu REIT. The stable outlook reflects our view that the leverage of Yuexiu Property Co. Ltd. will remain high over the next one to two years, but will likely stabilize at the current level as the company's profitability moderately recovers with reasonable sales growth. We also expect the leverage of its parent, Guangzhou Yuexiu Holdings Ltd., to stabilize accordingly. We may lower the rating on Yuexiu Property if the company's leverage deteriorates further, with a
