REITs are traditionally known as income instruments that pay out a dependable dividend.
A REIT that seeks to grow its asset base over time may also raise its dividends over time.
And with higher distributions, unitholders in such REITs not only receive a more bountiful stream of passive income but also enjoy capital appreciation as the unit price rises.
Hence, a REIT investor can enjoy the best of both worlds — rising dividends and also a climbing unit price.
One way to look for suitable REITs to invest in is to monitor their unit price appreciation.
Such a rise may be indicative of positive corporate developments for the REIT, thereby making investors more optimistic about its prospects.
Here are five REITs that recorded double-digit returns thus far this year.
ESR-REIT (SGX: J91U)
ESR-REIT is an industrial REIT that owns a portfolio of 58 properties across Singapore.
The properties are in different sectors such as business parks,...