May have a role in bone formation and also in establishing the ordered structure of cartilage through matrix organization. Preferentially expressed in flattened chondrocytes of developing chick limb cartilage. Also found in the cartilage peripheral zone bordering with bone marrow cavity. The O-linked glycosaminoglycan chain(s) are dermatan sulfate. Belongs to the small leucine-rich proteoglycan (SLRP) family. SLRP class III subfamily.