Skip to content
Home » Fintech » 5 Best REIT Stocks For Real-Estate Investors in Canada

5 Best REIT Stocks For Real-Estate Investors in Canada

Disclosure: Tech Daily is reader-supported. If you click-through, make a purchase or sign up for a service through our links, we may earn a commission or fee (at no cost to you). Learn more.

 

Canadian REITs, or Real Estate Investment Trusts, are companies that own and manage income-generating real estate properties. These properties can include office buildings, retail spaces, industrial warehouses, and apartment buildings.

REITs operate in a similar way to mutual funds, where investors can buy shares in the company and receive a portion of the profits generated by the rental income of the properties.

Disclaimer:

Equity investments are subject to market risks and may not be suitable for all investors. If you have any doubts as to the merits of an investment, you should seek advice from an independent financial advisor. So please invest at your own risk.

One of the main benefits of investing in REIT stocks is that they offer a relatively stable and reliable stream of income. Because the properties are leased to tenants, the REIT stocks can generate a consistent flow of revenue, which is then distributed to shareholders in the form of dividends.

This can be especially attractive for investors looking for a steady source of income without the hassle of directly managing their own properties.

Interactive Brokers is a trusted online brokerage firm providing low-cost trading in stocks, options, futures, forex, and bonds. Advanced technology and a wide range of market data and research make it a popular choice for professional and active traders globally. We highly recommend investing with Interactive Brokers for a safe, secure and seamless experience.

  • Lowest and most transparent commissions
  • Large number of tradable security types
  • Robust suite of research tools
  • Low margin rates, from 0.75% to 1.59%
  • Access to 40,000+ funds worldwide & 7,700+ funds with no transaction fees
INVEST NOW →

5 Best REIT Stocks in Canada

The Best Canadian REIT Stocks

1- H&R Real Estate Investment Trust

  • Ticker: HR-UN.TO
  • Listed on: Toronto Stock Exchange
  • Forward Dividend Yield: 4.88%
  • Payout Ratio: 11.80%
  • Market Capitalization: $3.49 Billion

A Canadian REITs H&R Real Estate Investment Trust (H&R REIT) specializes in owning and managing a diverse portfolio of industrial, residential, and retail properties across North America. By purchasing, developing, and leasing properties that produce steady and increasing rental income, the company’s primary goal is to increase value for its stockholders.

The company is a Canadian apartment properties REIT while Office buildings, commercial malls, industrial assets, and apartment complexes are all included in the portfolio of H&R REIT. The Canadian REITs also invests in construction and renovation projects for new and existing properties.

Through its mortgage investment section, H&R REIT offers financing to other real estate firms and investors in addition to its primary business of owning and managing buildings. This enables the company to develop new revenue streams and broaden portfolio diversification.

 

Invest now at Interactive Brokers

 

2- Canadian Net Real Estate Investment Trust

  • Ticker: NET-UN.V
  • Listed on: Toronto Stock Exchange
  • Forward Dividend Yield: 5.52%
  • Payout Ratio: 29.45%
  • Market Capitalization: $126.85 Million

Canadian Net Real Estate Investment Trust, also known as CNREIT, is a company that invests in a variety of real estate properties, such as office buildings, industrial properties, and retail spaces. The company’s goal is to generate income for its investors by leasing these properties to tenants.

The company’s primary goal is to buy and manage premium properties in significant Canadian markets. It collaborates with knowledgeable property managers and leasing representatives to ensure its investments are well-maintained and wholly leased out.

Overall, CNREIT is a company that provides a reliable and diverse investment opportunity for those looking to invest in the Canadian real estate market.

3- First Capital Real Estate Investment Trust

  • Ticker: FCR-UN.TO
  • Listed on: Toronto Stock Exchange
  • Forward Dividend Yield: 5.36%
  • Payout Ratio: 45.00%
  • Market Capitalization: $3.61 Billion

A business that invests in commercial real estate is First Capital Real Estate Investment Trust. Essentially, the company collects money from investors and uses it to buy and manage real estate, such as office buildings, malls, and residential complexes. The corporation subsequently uses the properties’ rental income and value growth to generate profits.

One of the main goals of First Capital Real Estate Investment Trust is to provide its investors with a steady stream of income through the rental income generated by the properties it owns. The company also aims to generate capital growth for its investors by carefully selecting properties that have the potential to appreciate in value over time.

Overall, First Capital Real Estate Investment Trust is a company that helps individuals and institutions invest in commercial real estate in a professional, transparent, and regulated way.

  • Lowest and most transparent commissions
  • Large number of tradable security types
  • Robust suite of research tools
  • Low margin rates, from 0.75% to 1.59%
  • Access to 40,000+ funds worldwide & 7,700+ funds with no transaction fees
INVEST NOW →

4- Flagship Communities Real Estate Investment Trust

  • Ticker: MHC-U.TO
  • Listed on: Toronto Stock Exchange
  • Forward Dividend Yield: 3.63%
  • Payout Ratio: 9.95%
  • Market Capitalization: $313.39 Million

Flagship Communities Real Estate Investment Trust is a company that specializes in investing in real estate properties and communities. The company primarily focuses on acquiring and managing residential properties, including single-family homes, townhomes, and apartments.

The company’s goal is to create and maintain high-quality communities that are desirable places to live for people of all ages and backgrounds. To do this, Flagship Communities focuses on acquiring properties in growing and stable markets and then invests in improving and maintaining these properties to meet the needs and expectations of their residents.

In addition to managing and maintaining residential properties, Flagship Communities also works with local governments and community organizations to help create and support thriving neighborhoods. This includes investing in infrastructure and amenities, such as parks, schools, and retail centers, to create a sense of community and improve residents’ overall quality of life.

Flagship Communities is committed to creating and maintaining strong, vibrant communities through its real estate investments.

5- Summit Industrial Income Real Estate Income Trust

  • Ticker: SMU-UN.TO
  • Listed on: Toronto Stock Exchange
  • Forward Dividend Yield: 3.21%
  • Payout Ratio: 14.40%
  • Market Capitalization: $4.29 Billion

A corporation called Summit Industrial Income Real Estate Income Trust invests in industrial real estate, primarily in buildings with tenants who bring in income. These properties may include factories, warehouses, distribution centers, and other industrial structures.

For the benefit of its investors, the corporation wants to buy and manage these properties in a way that yields steady and regular rental revenue. To accomplish this, Summit Industrial Income Real Estate Income Trust concentrates on real estate in important areas with high demand and favorable economic conditions and hires a team of experts to manage and maintain the properties.

The corporation seeks to raise the value of its properties over time through strategic acquisitions and creating revenue for its investors.

 

Try The #1 Trading Platform in Canada

 

5 Best REIT Stocks in Canada

Canadian REITs | Bottom Line

Overall, Canadian REITs provide a way for investors to gain exposure to the real estate market and potentially generate a steady stream of income, but like any investment, they come with their own set of risks and considerations.

Investors can opt for Canadian REIT ETFs to automatically build a diversified REIT portfolio. There are various types of REIT stocks that may be included in these ETFs and mutual fund, such as retail REITs, industrial REITs, residential REITs, Canadian apartment properties REIT, and mortgage REITs.

Industrial REIT are companies that own and operate a portfolio of industrial properties in Canada. These properties could include warehouses, distribution centers, and manufacturing facilities. Industrial REIT generate revenue through leasing these properties to businesses, and they are typically focused on serving the needs of the industrial and real estate sectors.

You May Also Like to Read