Investors are sitting on a shot at 100%+ dividend growth and a safe 6.9% yield—and most don’t even know it.
The route to this dividend bonanza runs through real estate investment trusts (REITs) that own apartment buildings. These landlords are raking in cash, with US rents skyrocketing by double digits in the last nine months. (We’ll discuss three specific names shortly.)
Higher cash flows translate straight into surging dividends because REITs are “pass-through” investments: they collect the rent, take out what they need to keep their tenants happy (and renewing their leases!) and send the rest our way.
This pass-through structure is no formality.… Read more
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