REITs have had a hard time in the past year as they had to grapple with a combination of high interest rates and soaring inflation.
Notwithstanding these challenges, some REITs with quality portfolios have been able to hold their own even as distributable income may take a temporary dip.
Income-seeking investors need to look carefully at both the sponsor and portfolio of properties that each REIT owns.
If the underlying properties are well-located and resilient, then rental income should remain stable or even increase despite the headwinds.
Because of the weak sentiment toward the REIT sector, a group of REITs has seen their distribution yields heading higher as their unit prices tumbled.
We highlight five Singapore REITs with distribution yields of 6.5% or higher that you may wish to include in your buy watchlist.
AIMS APAC REIT (SGX: O5RU)
AIMS APAC REIT, or AAREIT, is an industrial REIT with a portfolio of 29 properties, of which...