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High-Yield REITs I Would Trust For Retirement Income

Seeking Alpha
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⚡ Quantum Brief
CFA Jussi Askola argues broad REIT ETFs like IYR (2.3% yield) and XLRE (3.4% yield) underperform for income investors due to growth-focused holdings that dilute dividend potential. Selective, active REIT picking can unlock higher yields, with overlooked opportunities offering ~6% dividends while maintaining strong fundamentals, per Askola’s analysis. Askola, a REIT specialist with hedge fund and academic credentials, highlights his firm’s real-money portfolios, including core, retirement, and international REIT strategies for members. The article discloses Askola’s long positions in CUBE, SILA, and NNN, emphasizing his direct stakes but no conflicts beyond Seeking Alpha’s standard compensation terms. Investors are warned that past REIT performance doesn’t guarantee future results, with Seeking Alpha clarifying its platform doesn’t provide licensed financial advice.
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Jussi Askola, CFAInvesting Group LeaderFollow5ShareSavePlay(8min)Comment(1)SummaryREIT ETFs look low-yield, but they are skewed by growth-heavy holdings.Higher income exists, but only with selective, active REIT picking.Some overlooked REITs offer ~6% yields with strong fundamentals.High Yield Landlord members get exclusive access to our real-world portfolio. See all our investments here » mohd izzuan/iStock via Getty Images REIT ETFs do not offer particularly high dividend yields. The iShares US Real Estate ETF (IYR) only pays a 2.3% dividend yield.

The State Street Real Estate ETF (XLRE) pays a 3.4% dividend yield.This article was written byJussi Askola, CFA69.33K FollowersFollowJussi Askola is the President of Leonberg Capital, a value-oriented investment boutique that consults hedge funds, family offices, and private equity firms on REIT investing. He has authored award-winning academic papers on REIT investing, has passed all three CFA exams, and has built relationships with many top REIT executives. He is the leader of the investing group High Yield Landlord, where he shares his real-money REIT portfolio and transactions in real-time. Features of the group include: three portfolios (core, retirement, international), buy/sell alerts, and a chat room with direct access to Jussi and his team of analysts to ask questions. Learn more.Analyst’s Disclosure: I/we have a beneficial long position in the shares of CUBE; SILA; NNN either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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