Additionally, diversified REIT Duke Realty (NYSE: DRE) raised its dividends for the first time in five years in October. High occupancy levels in bulk distribution and improving occupancy in suburban offices could add to further rental rate increases, Rosenbluth added.
ETF investors interested in the dividend-paying REITs space can also consider REITs sector-related ETFs, including the Vanguard REIT ETF (NYSEArca: VNQ) and iShares Dow Jones US Real Estate Index Fund (NYSEArca: IYR).
VNQ’s largest weight is SPG at 8.3% of the ETF’s portfolio, along with 1.0% in DRE. The ETF’s sub-sector allocations include diversified REITs 6.9%, health care REITs 12.8%, hotel & resort REITs 6.4%, industrial REITs 4.2%, office REITs 13.6%, residential REITs 17.3%, retail REITs 24.6% and specialized REITs 14.0%. VNQ has a 3.92% 12-month yield.
IYR has a 7.2% tilt to SPG, along with 3.4% in CCI and 0.8% in DRE. The ETF’s sub-sector weights include specialized REITs 24.6%, retail REITs 19.5%, residential REITs 13.4%, office REITs 11.2%, health care REITs 8.9%, hotel & resort REITs 5.3%, diversified REITs 4.8%, mortgage REITs 4.7% and industrial REITs 3.2%. IYR has a 3.94% 12-month yield.
For more information on real estate investment trusts, visit our REITs category.
Max Chen contributed to this article.