News about REIT

The author calls the Innovative Industrial Properties Series A Cumulative Redeemable Preferred Stock (IIPR-PA) the best cannabis stock for dividend investors. IIPR is a REIT that owns 108 properties in 19 states and leases them to licensed U.S. cannabis operators under long-term triple-net leases. The common stock's 14.5% forward yield is seen as unsustainable given a payout ratio of about 172% and insufficient free cash flow, while the preferred yields about 9.3% and its cumulative feature requires missed preferred dividends to be paid before common dividends resume. Key risks include tenants failing to pay rent and heavy reliance on a small group of its 37 tenants for half of rental revenue. The author sees it as suited to aggressive income investors rather than conservative ones.

MarketBeat's stock screener lists five real estate stocks to watch today: Blackstone (BX), Crown Castle (CCI), Equinix (EQIX), Prologis (PLD) and Digital Realty Trust (DLR), which had the highest dollar trading volume in recent days. The article notes that real estate stocks, including REITs, may offer dividend income and price appreciation but are affected by interest rates, property values, economic conditions and market cycles. Blackstone is an alternative asset manager, Prologis is a global leader in logistics real estate, and Digital Realty Trust operates data center, colocation and interconnection solutions for industries including AI, cloud and financial services.