Offering payouts of as much as $1,000 per month, Artis boasts of superior quality assets and great prospects for growth, The Motley Fool Canada explained in its analysis.
Roughly half of the operating income from the REIT’s 27 million square feet of commercial property comes from its office space, with the remaining half comprised of retail and industrial real estate.
Also, the REIT is buttressed by exposure to the U.S. market, affording more options to investors.
“It has buildings in four states — Colorado, Minnesota, Wisconsin, and Arizona — which account for approximately a third of net operating income,” the analysis explained. “The best part about having assets in both Canada and the United States is the growth potential it provides. If the Canadian real estate market proves too competitive, funds can just be used to expand in the U.S.”
At $12.48 per share, Artis is a reasonably priced choice that not many other REITs can match. Paying $0.09 per share per month, an initial investment of $13,877.76 (1,112 shares) would be enough to net an investor $100 monthly.
Meanwhile, a total investment of $69,338.76 (5,556 Artis shares) would collect $500 a month, and $138,677.76—a far lower price than even the most affordable homes in hot real estate markets—would earn $1,000 a month.
“When comparing that to traditional real estate, it’s no contest. A REIT investor can collect better income than someone who buys a physical property and do less work in the process,” the analysis concluded. “It’s the kind of company that makes the perfect long-term hold in a portfolio.”
In a shaky economic climate, shrewd investors can safeguard their finances by betting on a high-reliability option such as Artis Real Estate Investment Trust (TSX:AX.UN).