Do you want to build a retirement portfolio that works for you — literally? A reliable monthly income stream could do just that for you. In today’s uncertain economic environment, dependable cash flow is more than just nice to have because it’s essential.
While many investors chase dividend stocks with quarterly payouts, many fundamentally strong stocks pay you every month and offer some of the most generous yields on the TSX. Whether you’re approaching retirement or already there, this steady income generator has the potential to transform your financial future with minimal effort.
In this article, let’s explore how this 7.1% yielding monthly dividend stock could deliver consistent income and peace of mind in your retirement years.
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A top monthly cash cow
A top monthly-paying dividend stock that you can consider right now is SmartCentres Real Estate Investment Trust (TSX:SRU.UN). Over the past year, the stock has climbed nearly 13%, driven by a combination of improving fundamentals and investor appetite for stable income.
As of now, it’s trading at $25.94 per share, with a market cap of about $3.8 billion. What truly sets it apart is its generous 7.1% annualized dividend yield, paid out monthly — making it incredibly appealing for anyone building a retirement income stream.
A big part of SmartCentres REIT’s recent gains could be attributed to its occupancy strength and leasing momentum. Notably, the company ended the first quarter of 2025 with an impressive 98.4% occupancy rate, leasing nearly 178,000 square feet of space in just three months. During the quarter, the REIT renewed over 68% of leases set to expire this year, with 8.4% average rent growth on non-anchor tenants.
A major boost came from Walmart, its largest tenant, taking over a huge 110,000-square-foot space at South Oakville Centre. This kind of anchor tenant activity brings stability and boosts confidence across the portfolio.
Strong start to the year with solid financial results
In the first quarter, SmartCentres REIT’s net rental income rose 4.6% YoY (year over year) to $136.8 million. The trust also posted a 17% YoY increase in funds from operations to $0.56 per unit. This solid performance was mainly backed by a $7.4 million growth in its net operating income from new lease-ups and rent escalations.
Even with some one-time staffing costs and higher interest expenses, SmartCentres managed to tighten its payout ratio, bringing it down to 83.8, compared to over 101% a year ago. That’s a big signal that management is keeping an eye on sustainability, not just short-term gains.
A long-term winner to power your retirement portfolio
In addition to these attractive numbers, the Trust’s long-term vision really makes this monthly dividend stock retirement-worthy. With 196 properties nationwide, the company manages a wide-ranging network of retail centres featuring top names such as Walmart, Canadian Tire, Dollarama, and Loblaw.
Moreover, SmartCentres REIT is actively redeveloping many of its retail sites into mixed-use communities, blending retail with condos, townhomes, self-storage, and senior living. These initiatives could accelerate its financial growth further. Given that, SmartCentres could be your ticket to a more confident retirement.
