Many people think of securing reliable monthly income, but only a few take the necessary steps at the right time to actually make it happen. The truth is, with a bit of planning and the right stock picks, you can start building a predictable stream of passive income — without needing a million-dollar portfolio. In fact, even a small investment today can generate steady monthly income, especially if you focus on high-yield TSX-listed stocks with a strong track record of reliable payouts.
In this article, I’ll talk about a top TSX monthly dividend stock you can invest $20,000 in today to secure roughly $119 per month in passive income.
A Steady REIT with strong monthly payouts
If you’re looking for stability and consistent monthly income, SmartCentres REIT (TSX:SRU.UN) could be a great stock to consider today. This Vaughan-based REIT (real estate investment trust) owns and operates one of Canada’s largest portfolios of retail-focused properties. At the time of writing, its stock trades at $25.89 per share with a market cap of $3.7 billion. What makes this REIT attractive is its generous annualized dividend yield of 7.1%, paid out monthly.
Over the past year, SmartCentres stock has climbed over 14%, supported by strong lease renewals, high occupancy levels, and a strategic tenant mix anchored by Walmart.
Earnings recovery kicking in with strong leasing activity
In the most recent quarter, SmartCentres REIT posted a 4.6% YoY (year-over-year) jump in its rental income to $136.8 million. Its quarterly net operating income also improved by 5.5% from a year ago to $143.5 million. More importantly, during the quarter, the REIT extended over 68% of leases maturing this year and managed to secure rent hikes of 8.4% on those renewals.
SmartCentres’s funds from operations (FFO), which is considered a key metric for REITs, grew by nearly 17% YoY last quarter to $0.56 per unit. Similarly, its payout ratio improved, too, meaning SmartCentres is now covering more of its dividend from cash flows rather than dipping into reserves.
Building long-term value with mixed-use growth
It’s important to note that SmartCentres is actively converting its landbank into value-generating developments. It currently has over 59 million square feet of zoned mixed-use development potential and has ten projects under construction, including residential towers, self-storage sites, and retail builds.
Moreover, its focus on projects like the ArtWalk condos and the new Canadian Tire store in Toronto shows how SmartCentres is layering in new income streams. This strategy isn’t just about growth. It’s about making sure those monthly dividends remain safe and possibly grow over time.
| COMPANY | RECENT PRICE | NUMBER OF SHARES | TOTAL INVESTMENT | DIVIDEND | TOTAL PAYOUT | FREQUENCY |
| SmartCentres REIT | $25.89 | 772 | $19,987 | $0.15417 | $119.02 | Monthly |
| Prices as of May 27, 2025 |
Foolish bottom line
With an investment of $19,987, investors can buy 772 shares of SmartCentres REIT at its current price. That’s enough to lock in roughly $119 in monthly dividend income, based on its 7.1% annual yield.
Of course, no single stock should make up your entire portfolio, but using a high-yield REIT like SmartCentres as part of a well-diversified mix of monthly payers could help you create a more predictable and steady income stream. The best part is that you don’t need a big portfolio to get going — just a smart strategy and patience.
