3 Top REIT Stocks for Long-Term Growth and Income

Three REIT stocks to consider for long-term investment are Vici Properties (VICI), Realty Income (O), and Stag Industrial (STAG). These REITs have high occupancy rates, regularly growing adjusted funds from operations per share, and consistently raising their dividends. With a perfect occupancy rate and multi-decade leases, Vici Properties has a strong foundation for growth. Realty Income leases properties to recession-resistant retailers, while Stag Industrial focuses on industrial properties. All three REITs offer a high dividend yield and have a history of raising their payouts annually.

Investors seeking stable, high-yielding investments in the real estate sector should consider Real Estate Investment Trusts (REITs). Among the top choices are Vici Properties (VICI), Realty Income (O), and Stag Industrial (STAG). These REITs offer strong fundamentals, including high occupancy rates, consistent growth in adjusted funds from operations (FFO) per share, and annual dividend increases.

Vici Properties (VICI)

Vici Properties, an experiential REIT, owns 93 casinos, resorts, and entertainment properties across the U.S. and Canada. With a perfect occupancy rate of 100% since its IPO in 2018, Vici Properties has maintained strong tenant relationships, with major tenants such as Caesar's Entertainment, MGM Resorts, and Penn Entertainment. The company's leases are typically multi-decade contracts, pinned to the consumer price index (CPI), ensuring rent increases to keep pace with inflation. From 2019 to 2024, Vici's adjusted FFO per share grew at a compound annual growth rate (CAGR) of 9%, with expectations to rise 4%-6% to $2.35-$2.37 per share in 2025. This growth will easily cover its forward annual dividend rate of $1.73 per share, translating to a forward yield of 5.3%. The stock currently trades at $33 per share, representing a bargain at just 14 times this year's adjusted FFO per share [1].

Realty Income (O)

Realty Income is a retail REIT that leases properties to recession-resistant retailers such as convenience stores, discount stores, and drugstores. With over 15,600 properties leased to over 1,600 clients across the U.S., U.K., and Europe, Realty Income has maintained an occupancy rate above 96% since its public debut in 1994. Tenants like Walgreens, 7-Eleven, and Dollar Tree have helped Realty Income weather economic downturns. From 2019 to 2024, Realty Income grew its adjusted FFO per share at a CAGR of 5%, with expectations to grow 1%-2% to $4.24-$4.28 per share in 2025. This growth will cover its forward annual dividend rate of $3.23 per share, translating to a forward yield of 5.6%. The stock currently trades at $58 per share, looking cheap at 14 times this year's adjusted FFO per share [1].

Stag Industrial (STAG)

Stag Industrial is an industrial REIT that owns 600 properties across 41 states, with many used as e-commerce fulfillment centers. Its biggest tenants include Amazon, FedEx, and XPO. Stag Industrial benefits from the secular growth of the e-commerce market, which has remained resilient through economic downturns. High switching costs for fulfillment centers keep most tenants locked into their leases, typically lasting four to five years. From 2019 to 2024, Stag Industrial's core FFO per share grew at a CAGR of 5%, with expectations to grow another 5% to $2.51 per share in 2025. This growth will easily cover its forward dividend yield of $1.49. The stock currently trades at $34 per share, paying a forward yield of 4.4% and trading at 14 times forward earnings [1].

Conclusion

Investors looking for long-term, high-yielding investments in the real estate sector should consider Vici Properties, Realty Income, and Stag Industrial. These REITs offer strong fundamentals, including high occupancy rates, consistent growth in adjusted FFO per share, and annual dividend increases. With a focus on recession-resistant tenants and the growth of the e-commerce sector, these REITs provide a solid foundation for long-term investment.

References

[1] https://finance.yahoo.com/news/3-brilliant-reit-stocks-buy-084000123.html

[2] https://www.marketbeat.com/instant-alerts/filing-seven-mile-advisory-buys-shares-of-8909-vici-properties-inc-nysevici-2025-08-17/