Real estate investment trusts (REITs) own, operate, or finance income-generating real estate. REITs allow individuals to invest in various types of real estate without having to directly own or manage the properties. REITs typically focus on a specific type of real estate, such as residential, commercial, or industrial, and they are required to distribute a large percentage of their taxable income to shareholders in the form of dividends, making them attractive for income-seeking investors.
Let's take a look at two REITs with yields up to 7.1% that have been growing their dividends in recent years.
CubeSmart
CubeSmart CUBE is the third largest owner and operator of self storage facilities in the United States. It currently owns or manages 1,406 self storage properties across 178 markets in 41 states and the District of Columbia.
CubeSmart currently pays a quarterly dividend of $0.51 per share, equating to an annualized dividend of $2.04 per share, which gives its stock a yield of about 4.4% at the time of this writing.
On top of having a high yield, CubeSmart is a dividend-growth star, as its 4.1% hike in December marked the 14th consecutive year in which it has raised its annual dividend payment.
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LTC Properties
LTC Properties LTC is a REIT that invests primarily in senior housing and healthcare properties. Its portfolio currently consists of 202 properties, including 124 assisted living facilities and 77 skilled nursing facilities, across 26 states with 30 operating partners.
LTC currently pays a monthly dividend of $0.19 per share, equating to an annualized dividend of $2.28 per share, which gives its stock a yield of about 7.1% at the time of this writing.
On top of being a high yielder, LTC is a reliable dividend payer, as it has maintained its current monthly dividend rate since October 2016.
Explore Opportunities Beyond REITs
While publicly traded REITs offer a convenient way to invest in real estate, we believe that some of the most compelling opportunities lie in the private market. Benzinga's real estate offering screener features a curated selection of private market real estate offerings from trusted platforms with a track record of strong returns.
Whether you’re an accredited or non-accredited investor, you can filter opportunities based on your investment criteria, including minimum investment, property type and target return. These offerings provide a unique chance to diversify your portfolio and tap into potential high-yield investments that are not available on public exchanges.
Latest Private Market Offerings
- QOZ Fund III: Realize massive tax benefits by investing in a portfolio of multifamily development projects with long-term growth potential located in designated Opportunity Zones.
- Income Plus Fund: A private real estate fund for investors seeking passive income and appreciation – Target net annual return of 9% – 11%.
- Golden Leaf Farming LP: Top-tier almond and pistachio farms with a target cash yield of 13.8%
Discover these and other exclusive real estate investment opportunities on Benzinga's offering screener. Dive into the private market and uncover the potential for substantial returns beyond the public REIT market.
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