2 Cheap REITs That Yield Up to 6.4%
A real estate investment trust (REIT) is a company that owns and operates income-producing real estate. These have proven to be a great source of income for Canadians in recent years. Today, I want to focus on two REITs that look very undervalued as September winds to a close.
Artis REIT (TSX:AX.UN) is a Winnipeg-based REIT that invests in industrial and office properties in Canada and the United States. Its shares have dropped 23% in 2022 as of close on September 29. That has pushed the REIT into negative territory in the year-over-year period.
In Q2 2022, Artis achieved NAV per unit of $19.37 over $17.37 in the previous year. Meanwhile, funds from operations (FFO) per unit rose to $0.38 over $0.34 in the second quarter of fiscal 2021. Shares of this REIT possess a very favourable price-to-earnings ratio of 3.7. It offers a monthly distribution of $0.05 per share, representing a tasty 6.4% yield.
Read:
Highly Sought After Natural Ingredients Appearing in More Plant-Based Products Across North America
Fresher, Healthier Food Options Coming Soon to an Airplane Tray Near You
Airline Industry Wooing Back Customers with Enhanced, Healthier Menu Options
Vegetarian and Vegan Fliers Winning Important Battle Over In-Flight Menu Options
Mega Grocery Store Chains Listening to Customers’ Demands for Nutritious, Clean-Label Foods
Allied Properties REIT (TSX:AP.UN) is a Toronto-based REIT that owned, managed, and developed urban workspace and network-dense data centres. This REIT has plunged 39% so far in 2022. Its shares have dropped 32% compared to the same period in 2021.
This REIT possesses a very favourable P/E ratio of 6.3 at the time of this writing. Better yet, it offers a quarterly dividend of $0.146 per share. That represents another tasty yield of 6.4%. Both undervalued REITs can be relied upon for stalwart income going forward.