Three REITs for consideration: They offer high yields, growth, and reliable payouts. REITs prioritize maximizing distributions, which may appeal to investors seeking income.
Real estate investment trusts (REITs) are a popular choice among income-seeking investors due to their ability to generate steady dividend income from rental properties. Three REITs stand out for their high yields, growth potential, and reliable payouts: Realty Income (O), Mid-America Apartment Communities (MAA), and Vici Properties (VICI).
Realty Income (O)
Realty Income, a diversified REIT, owns retail, industrial, gaming, and other properties. It has increased its monthly dividend payment 131 times since its public market debut in 1994, with an impressive streak of 111 consecutive quarterly raises. The REIT's payout has grown at a solid 4.2% compound annual rate, yielding 5.5% currently [1]. Despite its low valuation at 13 times funds from operations (FFO), Realty Income has consistently delivered better total operational returns than its peers, with 9.7% annualized over the past five years compared to 7.7% [1].
Mid-America Apartment Communities (MAA)
Mid-America Apartment Communities, an apartment owner, has never reduced its dividends in over 30 years as a public company. The REIT has increased its dividend 15 times consecutively over the past decade, growing its payout at a 7% compound annual rate [1]. While facing slower rent growth due to increased supply, the REIT anticipates accelerating rent growth in the coming years as strong renter demand absorbs new units. Mid-America is currently developing about $1 billion in new communities, which should drive strong income and dividend growth [1].
Vici Properties (VICI)
Vici Properties, a REIT focused on investing in casinos and other entertainment properties, has increased its dividend in all seven years since its inception. Its payout has grown at a 7.4% compound annual rate, significantly faster than the average for other REITs with triple net (NNN) leases [1]. The REIT benefits from its strategy of establishing relationships with leading experiential companies, which supports new developments and expansion projects. Vici Properties' rents are expected to steadily climb as inflation-indexed leases account for a larger share of its long-term NNN leases [1].
These three REITs offer investors high yields, growth potential, and reliable payouts, making them attractive options for those seeking income. However, it is essential to conduct thorough research and consider individual investment goals and risk tolerance before making any investment decisions.
References
[1] https://finance.yahoo.com/news/top-3-reit-dividend-stocks-121300329.html
[2] https://www.fool.com/investing/2025/08/19/brilliant-reit-stocks-buy-and-hold-long-term/
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