As savvy investors know, dividend-paying stocks far outperform non-dividend-paying stocks over the long term, and real estate investment trusts, or REITs, have some of the highest yields in the market today. With these facts in mind, let’s take a look at three REITs with yields up to 9.9% that you could buy today.
1. Cominar Real Estate Investment Trust
Cominar Real Estate Investment Trust (TSX:CUF.UN) is the third-largest diversified REIT in Canada and the largest commercial property owner in the province of Quebec, with 564 properties totaling 45.3 million square feet. It pays a monthly distribution of $0.1225 per share, or $1.47 per share annually, giving its stock a 9.9% yield at today’s levels.
Investors should also note that Cominar has increased its annual distribution for two consecutive years, and its increased amount of recurring adjusted funds from operations, including 27.6% year-over-year growth to $193.66 million in the first nine months of fiscal 2015, could allow this streak to continue in 2016.
2. CT Real Estate Investment Trust
CT Real Estate Investment Trust (TSX: CRT.UN) owns over 275 commercial properties across Canada totaling more than 20 million square feet. It pays a monthly distribution of $0.05525 per share, or $0.663 per share annually, giving its stock a 5% yield at today’s levels.
Investors should also make two important notes. First, CT has increased its annual distribution for two consecutive years. Second, on November 9 the company announced a 2.6% increase to its annual distribution to $0.68 per share, effective for its January 2016 payment, and this will bring its streak of annual increases to three.
3. Boardwalk REIT
Boardwalk REIT (TSX: BEI.UN) is one of Canada’s largest residential landlords, with more than 200 communities and over 32,000 units totaling approximately 28 million net rentable square feet. It pays a monthly distribution of $0.17 per share, or $2.04 per share annually, giving its stock a 4.3% yield at today’s levels.
Investors should also note that Boardwalk has increased its regular annual distribution for four consecutive years, and its increased amount of adjusted funds from operations, including 6.7% year-over-year growth to $127.7 million in the first nine months of fiscal 2015, could allow this streak to continue in 2016.
Which of these REITs would fit best in your portfolio?
Cominar, CT, and Boardwalk are three of the top investment options in the real estate investment trust industry today. All Foolish investors should strongly consider beginning to scale in to long-term positions in one of them over the next couple of weeks.
