In a time when markets are bouncing all over the place and investors are looking for calm in the chaos, monthly dividend stocks have started to shine. There’s something comforting about seeing cash land in your account every month, especially if you’re planning for retirement or just like the idea of steady income. One name that keeps popping up for all the right reasons is CT Real Estate Investment Trust (TSX:CRT.UN). With a dividend yield of 6.2% as of writing, this dividend stock is more than just a reliable payer, it’s a long-term hold that’s built for income-seeking Canadians.
The stock
CT REIT owns a sprawling portfolio of retail-focused real estate across the country. We’re talking over 370 properties and more than 30 million square feet of gross leasable area. Most of it is leased to Canadian Tire, which happens to be one of Canada’s most iconic and stable retailers. That kind of tenant relationship doesn’t just provide stability, it practically guarantees rent cheques keep coming in on time. Even better, these leases tend to be long-term, and Canadian Tire owns a large stake in the REIT. That’s a built-in incentive to keep the properties filled and the REIT running smoothly.
In 2024, CT REIT pulled in net income of $434.2 million. That’s nearly double what the dividend stock reported in 2023. The increase wasn’t just a fluke, either. Funds from operations (FFO), a key metric for REITs, also rose to $314.7 million from $307.9 million. This shows real, operating strength, not just paper profits. When a dividend stock can grow its income and maintain a strong portfolio in a high-interest rate environment, it tells you something important: it knows how to manage its business.
The income
One of CT REIT’s biggest draws is its monthly dividend. As of now, it pays $0.0771 per unit each month or $0.93 per unit annually. With the current unit price hovering around $15.30, you’re looking at a yield of 6.2%. Not bad for a dividend stock that’s backed by bricks and mortar and dependable rent payments. And it’s not just that the dividend is high, it’s reliable. The dividend stock has never cut its distribution since it was founded in 2013. In fact, CT REIT recently gave unit-holders a 3% raise on monthly payouts.
That kind of consistency matters. In today’s market, there are plenty of dividend stocks offering sky-high yields. But often, those yields are a warning sign, not a gift. If a company’s earnings can’t support its dividend, that payout might not stick around. CT REIT doesn’t have that problem. It’s disciplined, with a conservative payout ratio and a strong balance sheet. It doesn’t overextend itself, and that’s exactly the type of behaviour you want from a dividend stock you plan to hold for decades.
More to come
It’s also investing in growth. In early 2025, CT REIT announced roughly $59 million in new development and property acquisitions. These are low-risk projects that are expected to yield a going-in cap rate of 8.1%. Therefore, CT REIT is getting a solid return on the money it’s investing. That return should feed future earnings and support even more dividend growth in the years ahead.
Now, REITs aren’t perfect. Rising interest rates have made it more expensive for companies like CT REIT to borrow. But even in that environment, this REIT has managed to grow and remain profitable. Much of that has to do with its anchor tenant, Canadian Tire. As long as Canadian Tire continues to thrive, CT REIT should continue delivering solid results. And when rates eventually fall, REITs like CT could enjoy even more investor attention.
Bottom line
CT REIT is not flashy. It doesn’t make headlines with wild tech innovations or surging revenue growth. But it does something just as valuable: it pays you, every single month, to own a piece of dependable Canadian real estate. In a world full of uncertainty, that’s exactly the kind of investment I’m happy to hold onto for decades.
