REIT

Brawldud

I mean sorry but if I suddenly inherit a bunch of land I am going to sell it too. Owning land is owning homework. If you gave me $10M of property now I'd park that shit in a dividend ETF or an REIT and I'd be making $300k annually plus capital gains with zero effort.

MammothVegetable7608

I invested around 70% of my money in a custom portfolio of REITS, which for around 10 years wasn't bad, until COVID hit. Needless to say I paid a lot in painful "school fees" to learn the proper application of portfolio diversification and risk management. Also given my personal circumstances the REIT route wasn't tax efficient so I ended up paying way more in tax than I should have. Since then I have read widely on asset allocation and watched lectures on Youtube which has helped a lot in setting up a portfolio that does what its supposed to do whilst minimising risk. REITS as an asset class isn't necessarily bad but too much exposure to a single industry is. Every investment has a specific job to do in a portfolio and knowing how to combine them to suit your specific circumstances is the trick.

ReasonableBrother448

I think you are either robot or fixated of finding perma bears on the forum. I am not predicting a crash, quite the opposite. Trump will never allow markets to crash, he will eat human babies alive on TV show if it will help. Situation is very simple. If bond yields go up the circular never before seen debt driven AI bubble collapses overnight, because it will force EVERY asset on this planet to seek higher returns. It would also affect assets which are connected to yields, say REIT, Dividend stocks etc. They would not crash, but simply correct. Better yield on bonds = better yield on risk assets (= stock prices deflate) The way markets are attempting to price yields would lead to natural de-risking and small correction. I could even argue it would lead to bond markets to retrace and revert. It would force FED to hike and things like that, to control the inflation. Market WANTS to see effective inflation control attempt, it is irrelevant whether there actually is one. But i agree with you that anything Bessent does is short term. That is the MO right now, short term gains, long term pains.

Money-Effective7189

Outside of my normal portfolio, here are some things I participate in as alternative investments. Private credit Private loans/debt Preferred equity investments sec-qualified corporate debt (fixed-income corporate bonds Fractional real estate investing Micro Investing in commercial real estate via a REIT These are Private, can be iliuquid, but I havn't had an issue selling or get quarterly div and if they sell a property/asset my account re ieves growth and original investment back. These are those investments that are good because they are outside of the market, but could be difficult.

FillMySoupDumpling

Yikes exactly. People don’t read - even when making investments unfortunately. I don’t really get into the details myself in the basic funds I’m invested in, but before investing in this REIT I definitely looked over all the documentation including financial statements and more. 

BitteHelfenMirDoch

REITs and REIT preferred pay well.

FillMySoupDumpling

Yes. I am an “accredited investor” and have a small portion of my assets in a private REIT. It’s managed by a company I know well in an area I have sufficient experience in that I feel comfortable with it. It pays consistent dividends.  This investment really isn’t something you’re “missing”, though. I figured it was a way to somewhat have real estate related exposure beyond my basic market investments.

Apprehensive-Mine364

God is good, my $AA is going back up to being less of a loss. Now I just need that shit to hit PUMP harder so I can go into REIT.

DeeDee_Z

> DOES INVESTING HAVE ANY RISKS? Pages and pages of them. Every time some people invest money in «something», and lose some of that money, they sue someone. Their argument is always, *"Nobody told me..."* And therefore, the next Prospectus that comes out for that company, or that fund, or that whatever, has another couple pages describing that particular risk. Last time I invested in an unlisted REIT -- how they all start, BTW -- the Prospectus had **seventeen pages** describing every conceivable risk that I might be exposed to. The goal isn't to scare you off, though; rather, it's to prevent the next lawsuit. Because, you understand, risk and reward are correlated. ---- And if you'd like to be taken a little more seriously by the adults here, try to put all that "Middle School text-speak" behind you. Use complete sentences. Try proper punctuation. It will make you look more "grown-up".

Pie_Dealer_co

With your 25 years of experience can you explain this? Real inflation is around 20% last half a decade if not more. SPY 500 and similar move around 30% last couple of years every year. Then you can even get stocks that moved 60+% no issue the last 5 years. Not making it hard saying X jumped 100% then jumped to Y it made 60% and so on. I have picked a nice flat stock it moves up 5% every year so we beat inflation but growth is lacking. Lets say its a utility or REIT. I sell CC for 2 years and never get assigned. Then we do the math... I made less than just putting it in SPY 500

_galaga_

Cool info, thanks, I’ve recently been wrapping my head around REIT return of capital and at first it seemed like cheating but I get that the tax benefit isn’t permanent and you eventually pay taxes once the basis has been fully returned. A good tool to have in the chest, tho.

laurenthu

Yeah, managed futures is the one I'd single out of that whole list too. Most of those articles bury it, and I get why. Hard thing to sell. But it's about the only item there that actually went up in 2008 and again in 2022 while stocks fell, because it can go short instead of just holding less of everything. Gold is a different animal. I like it, but more as an inflation and currency hedge than a crash hedge, and it doesn't reliably move against equities. A lot of the REIT / private credit / non-traded stuff is really just equity or credit risk in a different wrapper. It looks uncorrelated mostly because nobody marks it to market daily, which is the lockup trap... the gate hides the correlation, and a crash is exactly when you'd want to rebalance and can't. Your 10-20% range feels about right. Under ~10% barely moves the whole portfolio in my experience, and you usually need to get up toward 20% of a real diversifier before the drawdown curve even changes shape. Liquid managed futures you can actually trade does most of that work. Probably the best bang for the least headache...

friedbymoonlight

Let’s gooooooo Lesser Omaha Retail Mall REIT!

Sensitive-Village735

I am 23Y/O and currently have around $48,000 invested pretty randomly in random ETFs and stocks across a few different apps and I am in the process of selling and streamlining into 1 app. Around 15,000$ of that is in a lifetime ISA (I am in the UK, this is an account where the government contribute 25% of your contributions and can only be used for the purchase of a house) The remaining amount 33k$ I am looking to move into a trading212 S&S ISA This is the current allocation I have decided on however I am debating whether to simplify it even further and would like some advice on whether that would be the move. The reason why it is so complicated is because I’m worried about the current tech/ai ‘bubble’ and am trying to protect myself from losing to much when it potentially does pop. It is as follows: 55% Vanguard S&P 500 UCITS ETF (USD) Accumulating 20% Vanguard FTSE All-World UCITS ETF (USD) Accumulating 10% Your REIT Pie 5 individual REITs below 15% Vanguard Global Aggregate Bond UCITS ETF GBP Hedged Accumulating Allocation within REIT Pie Effective portfolio allocation Realty Income Corporation 20% VICI Properties Inc. 20% Prologis, Inc. 20% Digital Realty Trust, Inc. 20% Ventas, Inc. 20% I understand there is a lot of overlap with the S&P and the FTSE all world, but would this really be a problem if the only thing I would replace it with would be more S&P in the first place?

TheoryInttro

Yes. Combining the worst features of REIT, rental and Capex into one company.

9mac

I've actually been loading up on farmland recently via the Gladstone LAND REIT. Interest rates play a large role in price movements, but producing healthy fresh food and strong monthly dividends have attracted me to the play.

Successful_Car1670

Tbf dc was never a “growth” stock but treated like a REIT

Educational_Ant_184

I dont blame you for thinking that, I think everyone will be increasingly fucked as time goes on. That being said, you have just about the largest time horizon of anyone investing. At your age, you can experience a "lost decade" or two and still make money before you retire on even the worst timing of specific buy-ins. Primarily you should be in investing in broad market ETFs, and those will be safe on your investing horizon. The fun gambles are better played somewhere else than your retirement accounts. Here is where I will be controversial. I dont recommend it now for the reasons you're saying, but if there is a large crash, I'd probably some time after go into a leveraged market ETF, in my case TQQQ, which is 3x, but ive read 2x is kind of the golden ratio, so maybe cut it with some non leverage to hit that exposure. Also, dividends are controversial. I invest in RITM, a REIT, which returns 10% per year, and DRIP the proceeds(two acronyms you should become familiar with, i.e. google them and there you go, simple but possibly important). I was losing money and afraid to invest in like 2022, but that dividend and reinvestment would have been nice to have at that time. Most people will say dividends are a waste and thats better pivoted to towards retirement, but I think its a nice hedge and something that can be nicely accrued slowly over time

ptexpat

# CareTrust REIT Announces Second Quarter 2026 Operating Results; Increases 2026 Guidance Thu, August 6, 2026 at 1:20 PM PDT  **Conference Call Scheduled for Friday, August 7, 2026 at 11:00 am ET** **DANA POINT, Calif., August 06, 2026**\--([BUSINESS WIRE](https://www.businesswire.com/))--CareTrust REIT, Inc. (NYSE:CTRE) today reported operating results for the quarter ended June 30, 2026, as well as other recent events. For the quarter, CareTrust reported: * Net income of $89.0 million and net income per diluted weighted average share of $0.38, an increase of $0.03, or 9%, over the prior year quarter; * Normalized FFO of $119.7 million and Normalized FFO per diluted weighted average share of $0.51, an increase of $0.08, or 19%, over the prior year quarter; * Normalized FAD of $118.5 million and Normalized FAD per diluted weighted average share of $0.51, an increase of $0.08, or 19%, over the prior year quarter; * $899.6 million of investment activity closed at a blended stabilized yield of 8.9%; * $578.2 million of gross proceeds from a forward equity offering, which remain unsettled; * $363.6 million of gross proceeds from settlement of equity forward contracts under the ATM Program; * Net Debt to Annualized Normalized Run Rate EBITDA of 1.01x; * 100.0% collection of contractual rent and interest; and * A quarterly dividend of $0.39 per share, representing a payout ratio of approximately 76% of Normalized FAD. ***Increased 2026 Guidance*** The Company provided updated guidance for 2026, projecting net income attributable to CareTrust of approximately $1.53 to $1.56 per share, Normalized FFO of approximately $2.03 to $2.06 per share, and Normalized FAD of approximately $2.01 to $2.04 per share. Mr. Bunker commented, "The midpoints of our new Normalized FFO and Normalized FAD guidance represent increases of 16.2% and 15.1%, respectively, over 2025 results. Our liquidity and capital access remain in great shape, giving us the flexibility to keep funding investments at our current pace. Between a balance sheet built for optionality and deep relationships across capital markets, we have real competitive advantages that provide runway to keep pursuing external growth aggressively."

dpatel211

REIT ETFs are a scam

greytoc

That's a really weird structure if it's equity. Equity means you have shares of the investment company. What is decision making mean? Are the decisions binding or advisory? Advisory means nothing. If the investment company is structured as a REIT - I think it's very unusual to have shareholders sign a personal guarantee. Regardless - afaik - an LLC doesn't protect your personal assets if there is a personal guarantee on a loan and there is a default. And I'm not aware of a way around that - since that defeats the concept of a bank asking for guarantors on the loan.

slowlybecomingsane

Because it takes a couple of years to build the data centers out and it's incredibly capital intensive, requiring large debt. By 2028 these data center companies will be boring REIT like companies, earning billions of 90% margin rental income and paying their debts down. And yes, the demand for compute is only going up so far. The deals these DC companies are getting for their power are improving year on year

JahMusicMan

I have it summarize all my accounts (IRAs, Roth, Brokerages) plus give general inheritance advice and have it give me an overall analysis however I prompt it to tell me the hard facts and not sugar coat anything. I did one big change to my Fidelity account, I was keeping money on hand in SPAXX instead of FDLXX which is exempt from CA state income taxes so I'm saving like $400 in state taxes. I also reduced my REIT exposure since I unfortunately inherited a house (unfortunately because a parent passed) and increased my small cap value percentage and bond percentage because of an incoming inheritance. I'm using Claude with a project specifically prompted with my complex situation with inheritance. Should I get a fee based advisor and an estate CPA? Probably. lol

vandalizethethief

No, it’s worse bc with memory stocks you can wait for the next cycle but with NBIS you’ll end up with a bunch of half built data centers, broken contracts & GPUs that have depreciated w/o the benefits of REIT classification. It’ll make a Tesla Cybertruck just driven off the lot look like a sound investment. Meanwhile Meta and Tesla loaning out compute bc they are losing the AI race or winning (depends how you look at it) plus all these smaller data center owners including REITs like DLR and EQIX are actually recording real record profits and revenue this quarter. I know bc I own DLR and EQIX and although they are only up 23% and 35% YTD, respectively I know they will still be here after tge hype is gone. Ive been seeing these big 20% spikes in after hours earnings and it’s some small cap datacenter owner absolutely crushing estimates and guidance. Now, not in this future AI paradise.

EmbarrassedPart1256

It's not a penny stock, but, it gives me serious $GME vibes... Bought $WU all the way down to $6.30, missed the $6.29s, $6.28s, & $6.27s dammit; someone else can have them. I'm at 800 shares for now, average considerably lower than yesterday's close; today seemed like a good buying day. I may add more to the position over time but I'll definitely be more conservative. I think I've played this one well so far around the ER; get a starter position going & then add in heavily since it dipped so hard. Looks like most of he dividends won't count as qualified dividends this time around but I'll definitely get them qualified the next time around... We're talking a cash cow of a business with a stable dividend whose yield only gets better as the price drops. This isn't a shitty REIT or something; its freaking Western Union... 

Character_Ad_1485

The 30-year is the right thing to be watching. The Fed controls the short end but the long end reflects what the market thinks about growth, inflation, and the supply of Treasuries over the next few decades. Right now all three of those are pointing up, and one 25bp move from the Fed barely registers against that. The mortgage market is probably the clearest place to see this play out. Rates are already making new home purchases nearly impossible for a lot of buyers and refi volume is dead. That affects housing starts, which affects lumber, appliances, everything downstream. That transmission doesn't need September's meeting to happen, it's already happening. On banks you're right to be uncertain. Net interest margin expands on a steeper curve in theory but it depends heavily on deposit beta and loan quality. Regional banks with commercial real estate exposure are the ones I'd watch most closely. Office CRE refinancing into a 5%+ environment is a real problem that hasn't fully shown up in earnings yet. REITs are more straightforward. When risk-free rates are at 5.23% the yield premium you need to hold a REIT compresses the valuations pretty mechanically. The ones with floating rate debt and near-term refinancing needs are in the tightest spot.

zonk84

I say this as someone who - years ago, made a mistake investing in Fundrise... Naive "What's the best way to diversify into real estate?" on my part -- and all the pretty pictures are confidant blurbs sealed the deal. First, the expense ratio is ridiculously high. Again, I was naive -- I very much (thought) I understood and watched expense ratios but figured the high expense ratio was just the price of admission to a closed/private fund (yes and no, really). Second, read the TOS -- again, silly naive me -- I failed to grasp the lockdown exceptions. Again, thought it was just a natural part of a private fund (again, yes and no!) "Fortunately" - I only gave it 2 years and was able to exit and just realize a fairly small loss (i.e., silver lining - taking the loss on taxes). I don't mean to trash them, but I'm just saying... Today me would go back \~5 years and say "No, bad idea." I've since gone REIT --- I like O/Realty Income quite a bit. I've also nibbled into some broader "REIT ETFs" (Fidelity's FREL, for example) and also some niche REITs (STAG, though I don't know I'd recommend that one).

SnooComics5459

it won't matter .. real estate is also represented as REIT tickers which will be subject to dip buying.

zonk84

I'm 52 and I think I can hit my number somewhere in the 3-5 year range. I'm still in the 90/10 to 85/15 range overall. It *is* probably time for me to start trickling, but I don't hate my job and it's relatively secure. I think it's important to take the long view -- and really, since the 2008 GFC? it's been an amazing longterm run - even with the covid hiccup and the 2022 inflation mistake. But - of course - one needs to take the long (long long) view and what has been is no guarantee of what will be. *Personally* \- in hindsight? I think the "old" age-based split rules (or even horizon split rules) were always too conservative. One area I've liked for the last year or three --- REITs. Almost all in a taxable brokerage (plus a bit on a Roth IRA), but my 401k plan doesn't offer any. The recurring income was my reasoning - but actually, they've had a pretty good growth year, especially when you consider the statutory drag that comes with REIT growth.

IWP_InvestingWtPurps

Honestly, it depends a lot on age and risk tolerance. A 25-year-old and a 60-year-old should not be looking at that gold stack the same way. But 64% in one asset should definitely be trimmed no matter what. Gold's had a great run since 2018, but the problem is you're holding a single big position on one asset. That's concentration risk. I wouldn't dump it all at once, but I'd take profits and rebalance in stages. Move a chunk into your global ETFs, add to bonds for stability and income, and grow the stock allocation a bit if the risk tolerance is there. Even go into other metals like silver, copper, etc. Real estate (like a REIT or direct if you can) is a solid diversifier too. And keep some cash for opportunities. Overtime I think gold should go down to 5–15%, with the rest spread across equities, bonds, property, other metals and cash based on your timeline.

tickerscout

Take this with a grain of salt, I wouldn't pretend to give investment advice. But this is the level of reading I would do before considering a particular stock. An Owner of Rooms, Not an Operator of Hotels Apple Hospitality REIT owns hotels and collects what they earn, but it does not run them. Its properties are rooms-focused select-service and extended-stay hotels in urban, high-end suburban and developing markets, flying Marriott and Hilton flags such as Hilton Garden Inn, Courtyard, Hampton, Residence Inn and Homewood Suites. The customer is a traveling salesperson, a project crew on assignment, a family visiting relatives. Because tax rules bar a REIT from operating hotels, every property is leased to a wholly owned taxable subsidiary and turned over to one of fifteen unaffiliated management companies that hire the staff and set the room rates. The company's own payroll is 64 people. What it actually does is allocate capital: buy hotels, sell hotels, renovate them, finance them, and pass the residual cash to shareholders every month. The scale is substantial and the mix deliberately plain. At March 31, 2026 there were 217 hotels and roughly 29,600 rooms across 37 states and the District of Columbia, producing $1.4 billion of revenue over the last twelve months, about 90% of it room revenue. Nothing in that portfolio is scarce or hard to replicate. The thesis follows: a competently run, conservatively financed and thoroughly commoditized collection of real estate whose profits track the American travel cycle with almost no idiosyncratic lever, priced at $16.77 for an occupancy-led recovery that has not yet produced a single dollar of pricing power. Diversification Is Not a Moat What protects the cash flow is real but shallow. Brand affiliation buys access to loyalty programs and reservation systems no independent owner could build. Scale across 217 properties removes single-market risk. Low leverage lowers the cost of capital and permits buying when leveraged owners cannot. The manager arrangement is better designed than the industry norm: roughly 81% of hotels pay a variable fee of 2.5% to 3.5% of gross revenues on short terms, terminable for missed performance thresholds, rather than the base-plus-incentive structure that pays operators regardless of outcome. Each of those advantages is rented. The brands belong to franchisors who charge fees on room revenue, set the standards that drive renovation spending and control renewal terms; concentration in two of them means the counterparties hold the stronger hand. Upscale select-service hotels are among the easiest lodging assets in the world to build, so any sustained excess return invites supply. Diversification does not deliver a return above the market for U.S. upscale lodging; it delivers that market's return, minus fees. The risks are the ordinary cyclical kind: demand tied to employment and corporate travel budgets, a cost base of labor, insurance, property taxes and utilities that does not fall when revenue does, 14 ground-leased properties, and catastrophe exposure in a repriced insurance market. One is already fading: the reduced government travel management blamed for much of 2025's softness, which persisted through an extended shutdown late in the year, is now a favorable comparison rather than a headwind. The live one is the 2026 maturity wall. Occupancy Is Back, Rate Is Not The March 2026 quarter is the inflection the market has seized on. Revenue rose 3.1% to $337.7 million, RevPAR rose 3.1% to $114.43 and Comparable Hotels RevPAR 2.2%, but the composition cools the enthusiasm. Occupancy went from 71.1% to 72.8% while ADR (Average Daily Rate) moved from $156.24 to $157.19, a gain of 0.6%. Essentially all of the improvement was volume, and volume in a hotel is bought with variable cost: labor and utilities scale with rooms sold, so hotel operating expense rose 3.5% against 3.1% revenue growth and Adjusted Hotel EBITDA rose exactly in line with revenue, to $108.5 million, leaving the margin unchanged at 32.1%. Rate, by contrast, drops to the bottom line nearly whole. The recovery so far has produced activity, not earnings power. The longer record sharpens the point. ADR (Average Daily Rate) was $155.76 in 2023, $158.01 in 2024 and $159.06 in 2025, a cumulative gain of about 2% while wages, insurance and property taxes rose considerably faster. Hotel operating expense consumed 58.1% of revenue in 2023, 60.0% in 2025 and 61.3% in the March quarter, and Adjusted Hotel EBITDA margin fell from 35.9% to 33.7%. Full-year 2025 revenue declined 1.3% to $1.4 billion and net income fell 18.1% to $175.4 million, or $0.74 per share, even though G&A fell 24.1% on a reduced executive incentive accrual that reversed in the March quarter. Comparable Hotels statistics for 2024 and 2023 are measured against the current 216-hotel set, so they describe the trend of today's portfolio rather than what was reported at the time, but the direction is not in question. For a lodging REIT, per-share earnings power reads better through FFO than through GAAP EPS. FFO was $363.3 million in 2023, $384.9 million in 2024, $357.6 million in 2025 and $359.2 million over the trailing twelve months; against the weighted average share counts of those periods that is roughly $1.58, $1.60, $1.50 and $1.52 per share. Three years, no progress. One wrinkle limits cross-period comparison: effective January 1, 2026 the company began excluding share-based compensation, about $7.7 million a year, from MFFO and Adjusted EBITDAre, and only the prior-year quarter was restated to match, so quarterly non-GAAP figures sit above the annual ones by roughly that amount annualized and cannot be chained to them; on that basis quarterly MFFO was $80.3 million against $78.8 million. Management raised full-year 2026 guidance to Adjusted EBITDAre of $436 million to $458 million from $424 million to $447 million, and Comparable Hotels RevPAR growth to 0.0% to 2.0% from negative 1.0% to positive 1.0%, a midpoint raise of about 2.6%. Cash After the Hotels Are Fed Operating cash flow was $369.9 million over the trailing twelve months against $95.9 million of capital improvements and $227.4 million of distributions, leaving roughly $47 million of annual surplus. That surplus, not the FFO payout ratio of about 63%, is the true measure of distribution safety. FFO adds real estate depreciation back in full, but hotels genuinely consume capital: brand standards mandate it, and about 21 properties are in comprehensive renovation during 2026 within capex guidance of $80 million to $90 million. Charge the actual spending against FFO and distributable cash is nearer $1.11 per share against a $0.96 distribution, a cushion of about 16%, and renovation costs twice over, since a hotel under construction sells fewer rooms while the work proceeds. Quality is otherwise clean: interest paid of $79.8 million in 2025 sat close to the $81.5 million expensed, and cash taxes of $1.0 million are trivial as REIT status implies. A $31.7 million seasonal build in the receivable from third-party managers held March quarter operating cash flow to $48.9 million against FFO of $76.5 million, and reverses as the year progresses. Low Leverage, a Crowded July Debt principal was $1.6 billion at March 31, 2026 at a weighted-average all-in rate of 4.65%, with 63% fixed or swap-fixed. That is roughly 3.5x Adjusted EBITDAre and about 36.5% of total capitalization, genuinely conservative for a cyclical lodging owner and the single best feature of the enterprise. Corporate cash is thin at $7.8 million, but revolver availability of $558.8 million more than covers it, and all covenants were met. The near-term schedule deserves attention. About $292.1 million of principal falls due between April and December 2026: a $19.5 million mortgage, a $51.0 million three-property mortgage, and the $89.1 million drawn revolver together with a $130 million term loan, both maturing July 25, 2026. The last two are extendable by up to a year subject to conditions, though management stated an intention to refinance instead. Whether that refinancing was completed, and at what spread against the existing SOFR plus 1.35% to 2.25% grid, is not established by anything available here, and the answer sets the interest run rate for the rest of the year. Two swaps covering $200 million also mature during 2026 with replacements expected at higher rates; a 100 basis point move shifts annual net income by about $5.8 million, or roughly $0.02 per share. Beyond that the ladder is manageable at $278.6 million in 2027, $334.1 million in 2028 and $460.0 million in 2030. Because REIT distribution rules prevent retaining earnings, maturities must be refinanced rather than repaid, making credit market access a structural dependency, and committed development at Anchorage and Las Vegas of about $209 million at fixed prices through 2028 will likewise be funded with debt or disposition proceeds against annual free cash near $47 million. A full balance sheet is not available for 2023, so the leverage path can be traced only from the 2024 year end forward; whether 36.5% is drift upward or a return to a longer-run norm cannot be answered from what is at hand.

tickerscout

Take this with a grain of salt, I wouldn't pretend to give investment advice. But this is the level of reading I would do before considering a particular stock. An Owner of Rooms, Not an Operator of Hotels Apple Hospitality REIT owns hotels and collects what they earn, but it does not run them. Its properties are rooms-focused select-service and extended-stay hotels in urban, high-end suburban and developing markets, flying Marriott and Hilton flags such as Hilton Garden Inn, Courtyard, Hampton, Residence Inn and Homewood Suites. The customer is a traveling salesperson, a project crew on assignment, a family visiting relatives. Because tax rules bar a REIT from operating hotels, every property is leased to a wholly owned taxable subsidiary and turned over to one of fifteen unaffiliated management companies that hire the staff and set the room rates. The company's own payroll is 64 people. What it actually does is allocate capital: buy hotels, sell hotels, renovate them, finance them, and pass the residual cash to shareholders every month. The scale is substantial and the mix deliberately plain. At March 31, 2026 there were 217 hotels and roughly 29,600 rooms across 37 states and the District of Columbia, producing $1.4 billion of revenue over the last twelve months, about 90% of it room revenue. Nothing in that portfolio is scarce or hard to replicate. The thesis follows: a competently run, conservatively financed and thoroughly commoditized collection of real estate whose profits track the American travel cycle with almost no idiosyncratic lever, priced at $16.77 for an occupancy-led recovery that has not yet produced a single dollar of pricing power. Diversification Is Not a Moat What protects the cash flow is real but shallow. Brand affiliation buys access to loyalty programs and reservation systems no independent owner could build. Scale across 217 properties removes single-market risk. Low leverage lowers the cost of capital and permits buying when leveraged owners cannot. The manager arrangement is better designed than the industry norm: roughly 81% of hotels pay a variable fee of 2.5% to 3.5% of gross revenues on short terms, terminable for missed performance thresholds, rather than the base-plus-incentive structure that pays operators regardless of outcome. Each of those advantages is rented. The brands belong to franchisors who charge fees on room revenue, set the standards that drive renovation spending and control renewal terms; concentration in two of them means the counterparties hold the stronger hand. Upscale select-service hotels are among the easiest lodging assets in the world to build, so any sustained excess return invites supply. Diversification does not deliver a return above the market for U.S. upscale lodging; it delivers that market's return, minus fees. The risks are the ordinary cyclical kind: demand tied to employment and corporate travel budgets, a cost base of labor, insurance, property taxes and utilities that does not fall when revenue does, 14 ground-leased properties, and catastrophe exposure in a repriced insurance market. One is already fading: the reduced government travel management blamed for much of 2025's softness, which persisted through an extended shutdown late in the year, is now a favorable comparison rather than a headwind. The live one is the 2026 maturity wall. Occupancy Is Back, Rate Is Not The March 2026 quarter is the inflection the market has seized on. Revenue rose 3.1% to $337.7 million, RevPAR rose 3.1% to $114.43 and Comparable Hotels RevPAR 2.2%, but the composition cools the enthusiasm. Occupancy went from 71.1% to 72.8% while ADR (Average Daily Rate) moved from $156.24 to $157.19, a gain of 0.6%. Essentially all of the improvement was volume, and volume in a hotel is bought with variable cost: labor and utilities scale with rooms sold, so hotel operating expense rose 3.5% against 3.1% revenue growth and Adjusted Hotel EBITDA rose exactly in line with revenue, to $108.5 million, leaving the margin unchanged at 32.1%. Rate, by contrast, drops to the bottom line nearly whole. The recovery so far has produced activity, not earnings power. The longer record sharpens the point. ADR (Average Daily Rate) was $155.76 in 2023, $158.01 in 2024 and $159.06 in 2025, a cumulative gain of about 2% while wages, insurance and property taxes rose considerably faster. Hotel operating expense consumed 58.1% of revenue in 2023, 60.0% in 2025 and 61.3% in the March quarter, and Adjusted Hotel EBITDA margin fell from 35.9% to 33.7%. Full-year 2025 revenue declined 1.3% to $1.4 billion and net income fell 18.1% to $175.4 million, or $0.74 per share, even though G&A fell 24.1% on a reduced executive incentive accrual that reversed in the March quarter. Comparable Hotels statistics for 2024 and 2023 are measured against the current 216-hotel set, so they describe the trend of today's portfolio rather than what was reported at the time, but the direction is not in question. For a lodging REIT, per-share earnings power reads better through FFO than through GAAP EPS. FFO was $363.3 million in 2023, $384.9 million in 2024, $357.6 million in 2025 and $359.2 million over the trailing twelve months; against the weighted average share counts of those periods that is roughly $1.58, $1.60, $1.50 and $1.52 per share. Three years, no progress. One wrinkle limits cross-period comparison: effective January 1, 2026 the company began excluding share-based compensation, about $7.7 million a year, from MFFO and Adjusted EBITDAre, and only the prior-year quarter was restated to match, so quarterly non-GAAP figures sit above the annual ones by roughly that amount annualized and cannot be chained to them; on that basis quarterly MFFO was $80.3 million against $78.8 million. Management raised full-year 2026 guidance to Adjusted EBITDAre of $436 million to $458 million from $424 million to $447 million, and Comparable Hotels RevPAR growth to 0.0% to 2.0% from negative 1.0% to positive 1.0%, a midpoint raise of about 2.6%. Cash After the Hotels Are Fed Operating cash flow was $369.9 million over the trailing twelve months against $95.9 million of capital improvements and $227.4 million of distributions, leaving roughly $47 million of annual surplus. That surplus, not the FFO payout ratio of about 63%, is the true measure of distribution safety. FFO adds real estate depreciation back in full, but hotels genuinely consume capital: brand standards mandate it, and about 21 properties are in comprehensive renovation during 2026 within capex guidance of $80 million to $90 million. Charge the actual spending against FFO and distributable cash is nearer $1.11 per share against a $0.96 distribution, a cushion of about 16%, and renovation costs twice over, since a hotel under construction sells fewer rooms while the work proceeds. Quality is otherwise clean: interest paid of $79.8 million in 2025 sat close to the $81.5 million expensed, and cash taxes of $1.0 million are trivial as REIT status implies. A $31.7 million seasonal build in the receivable from third-party managers held March quarter operating cash flow to $48.9 million against FFO of $76.5 million, and reverses as the year progresses. Low Leverage, a Crowded July Debt principal was $1.6 billion at March 31, 2026 at a weighted-average all-in rate of 4.65%, with 63% fixed or swap-fixed. That is roughly 3.5x Adjusted EBITDAre and about 36.5% of total capitalization, genuinely conservative for a cyclical lodging owner and the single best feature of the enterprise. Corporate cash is thin at $7.8 million, but revolver availability of $558.8 million more than covers it, and all covenants were met. The near-term schedule deserves attention. About $292.1 million of principal falls due between April and December 2026: a $19.5 million mortgage, a $51.0 million three-property mortgage, and the $89.1 million drawn revolver together with a $130 million term loan, both maturing July 25, 2026. The last two are extendable by up to a year subject to conditions, though management stated an intention to refinance instead. Whether that refinancing was completed, and at what spread against the existing SOFR plus 1.35% to 2.25% grid, is not established by anything available here, and the answer sets the interest run rate for the rest of the year. Two swaps covering $200 million also mature during 2026 with replacements expected at higher rates; a 100 basis point move shifts annual net income by about $5.8 million, or roughly $0.02 per share. Beyond that the ladder is manageable at $278.6 million in 2027, $334.1 million in 2028 and $460.0 million in 2030. Because REIT distribution rules prevent retaining earnings, maturities must be refinanced rather than repaid, making credit market access a structural dependency, and committed development at Anchorage and Las Vegas of about $209 million at fixed prices through 2028 will likewise be funded with debt or disposition proceeds against annual free cash near $47 million. A full balance sheet is not available for 2023, so the leverage path can be traced only from the 2024 year end forward; whether 36.5% is drift upward or a return to a longer-run norm cannot be answered from what is at hand.

tickerscout

For a company to qualify as a REIT it has to return a certain amount of its income to share holders which is why they are all dividend stocks. And by doing so they have a special tax arrangement where by the owe little to no taxes on the money they return. But it really depends on the company. Depending on the REIT it can be a very cyclical business because they are exposed to whatever companies they rent space too. If say they rent space to all consumer goods stores then they are exposed to that market which has its own cycles. As for owning a REIT, you still pay taxes on the dividends you make like all dividend paying stocks. I can give you an overview of APLE if you would like.

DDonutsLatte598

Thanks for the info - one more question, if you don't mind. Your opinion on REITs and are they worth purchasing. I was looking at the APLE REIT in particular. Also, are they taxed the highest of all stock?

thelonewanderer333

After 5 years of trying to time the markets, I've decided to just DCA into the indices like a normie who doesn't know what a call or put is. So, prepare for black swans in precious metals, managed futures, convertible securities, and REIT's.

BjornIronside2021

What about AGNC and CIM (REIT stocks)?!?! When do they get their retribution?!?!

rbrumble

My dog was a commerical REIT I had been picking up large volumes of before covid, and then they tanked when commercial rentals went south. Five plus years later, it's sitting at about 50% of what I paid, but it does pay a monthly dividend, so I'm going to hold it and keep accruing shares until I decide I need the lump sum. I bought Twitter back in the day and it went to about half for years until it came back, and when Uncle Elon bought all outstanding shares to take it private I made a good profit, so I'm prepared to hold onto this REIT for awhile, I'm stubborn like that.

Ok-Nose29

What does it mean that the top 4 customers of every single datacenter REIT in this picture are Google, Microsoft, Amazon, Meta Who all themselves have their own datacenters I don't think there are any customers for datacenters other than the hyperscalers themselves who all had already won the economy with near infinite high margin free cash flow https://preview.redd.it/mvf1gbz4pkdh1.png?width=1075&format=png&auto=webp&s=56d819c6270e59831d4b655a5ddbcc2cfc856835

bam2350

State income taxes don't apply? Then be sure to include munis that avoid federal taxes. Control costs now. If you're trying to amass wealth on top on the guaranteed 80K/month, more savings early in the timeframe is a real advantage. Likewise, keep after it. If the person is willing/able to work at it some, direct investment into property might be an option to do some tax things. REIT likely wouldn't have the tax advantages but could provide the diversification. One possible allocation could look like this: 25% SGOV or similar, 25% FLMI or similar, 15% international index fund, 35% broad US index such as VOO/VTI/SPYM. If 50% stocks is more than your comfort, dial it back into TIPS and/or SGOV (RETI and/or property fits here too).

CardboardCompass

REIT's are evaluated pretty differently than normal stocks. EPS and P/E can be misleading because depreciation makes the earnings look worse than the actual cash coming in, so most people follow FFO and AFFO instead. Past that, I'd look at occupancy, average lease length, and how the debt is structured. If a REIT has a bunch of loans coming due in the next year or two, it's going to hit way harder by rate changes than one that already locked in low rates for years. Also worth comparing the cap rate to whatever else is trading in that same sector, office etc. That usually tells you more about whether it's actually cheap than the P/E does

JahMusicMan

Depends on if this is in your tax sheltered account or regular brokerage: Tax Sheltered: Bonds REIT High Dividend index funds Small Cap Funds International funds Brokerage: Small Cap International funds Money market funds/Cash Bitcoin Any risky investments

Rare-ish_Birb

What you're not contemplating is the yet unseen move for the hyperscalers to go capital lightagain by dumping all the data center assets into quasi REIT structures, paying slightly over 30 year treasury yields. There - solved it for ya. 🥳🥳🥳

Arboga_10_2

We're 65% equities (60/40 US/International), 30% bonds and 5% alternatives (REIT ETF/Gold). We have paid off our house plus a rental unit. And then we have 2-3 years of living expenses in cash.

jonclod_vundum

Bayer AG Smart Centres REIT Vale SA

Derpapotamus

Maybe I'm biased because I did the same DD independent of you, and came to the same conclusion, but your evaluation is spot on. What makes it more juicy is their Dana Farber cite showing it helped with patient selection for Enhertu (AstraZeneca's monoclonal antibody cancer treatment). If they get a Companion Diagnostic deal, it's beyond mooning. It's going to $10 overnight. The problem, which Jeff Busch identified immediately, is the value is trapped in a dumpster fire wrapped in a tire fire. Ignite is commercial stage. It works, it's backed by Medicare, and it has been shown to be very useful and of interest to big pharma. But no one will touch it because it's in the process of burning down. Better to dump $10m into shorting it, bankrupt them, then buy the IP for pennies on the dollar. And now the current situation is somewhat interesting. They've reached the 1b share cap, so they cannot dilute any further. Which is good for shareholders, but bad for them. They need cash to make it to September and finish the merger. Bear case is still very, very valid: They're swimming in toxic debt. They've just been delisted. The price is in the gutter. They're on the brink of bankruptcy. The bull case however, is also valid: They're sitting on hundreds of millions in locked up value. It's value that has evaluated by a 3rd party at $150m, so even if you don't trust my DD, Copley did their own research. The new guy at the helm has built one billion dollar medical REIT empire. Maybe he can do it again. This isn't even to mention Adimune and Pearsanta, two other assets they own that definitely are promising.

Any_Influence_8305

WEN is the only REIT I'll ever "invest" in. Loading up on calls, and baconators intraday to pump the stock

Nottwosmrt

Aren't 10s of thousands of Wendy's owned by YUMM REIT? How does that work out if locations are privately owned, owned en mass by a REIT, and the stock is for the franchise over all? Nice locations or bad locations, were you at corporate run stores, ones owned by YUMM, or stores owned by one dude who did a bad trade on IBM contracts in the 80s, found himself out back by the dumpster to make ends meet, and just took the keys from the old owner one day? More research is needed. I suggest counting strips of bacon at various locations baconators to be sure of quality, or profit gouging.

skilliard7

Depreciation is a real expense and shouldn't be ignored. It's not like a REIT where its just a paper expense. Hardware loses its value over a span of ~5 years, so you can't just ignore that.

jaysamu3l

Armour Residential REIT is a better play, 0.24 cts dividend every month. With current stock price thats almost 17% dividend a year... https://preview.redd.it/0zftgf8ojg9h1.jpeg?width=1220&format=pjpg&auto=webp&s=a28be7337c91ab377b04edb844a2c9f6542fa112

Rare-ish_Birb

Yep. Exactly. Move the debt and assets, via sale and leaseback agreements into some some new REIT structure. The SPA deals they've done so far have interest rates at SOFR + 8%, which is insustainable in perpetuity. They'll transfer the assets off their b/s, take a little hit on the present value calc, and pay a lease fee that generates enough cashflow for the REIT to cover maintenance, depreciation and a slightly juiced divy to long term shareholders like insurance companies. It'll work, if the insurance companies stay solvent after the upcoming private credit implosion. 😂😂

Rare-ish_Birb

We may not see the bubble actually burst, if the hyperscalers offload the datacenter assets and related debt vehicles into some new independant REIT structures while the hype is still keeping valuations high. It'll happen. That may be an initial clue the capex cycle is ending. Hyperscalers want to be asset light again, but their clean almost debt free balance sheets were the only f/s that could absorb the massive debt needed for the buildout. Just my view.

1000_Faces

Well you can do that, but after 20 years in commercial real estate I can tell you that means absolutely nothing. Cuz what's going to happen is the corporate raider that now owns a huge chunk of this is going to make a push to take it private, they're going to spin off all the real estate into a triple net REIT and they're going to borrow against it massively and do whatever they want with the money. The real estate is incredibly valuable to this group that's trying to take it private. That's what they're after. You can go ahead and look at balance sheets and I'll look at straight assets. The value in the real estate is going to dictate any stock buyback price. Period.

aronnax512

REITs are fine in a Roth (provided thr company is actually good rather than some weird mortgage REIT levered to the gills).

the_secret_my_gf_dk

This is the next reddit takeover movement, the goal is literally to get redditors on the board. We need to get $1 so we don’t get delisted. And we are spinning off a division for 150M. The CEO was CEO of a $1B REIT before.

Succulent_Rain

Consumer staples and financials have been range bound for the past couple of months which is why I’ve been adding to them since they will be poised for a breakout once this AI bubble bursts. REIT’s are very dangerous because interest rates are going to go up. Energy will crash once the next recession arrives, similar to what happened right after June 2008. I exited all my energy positions in March, when they reached a peak. With healthcare, you have to be careful where you invest: biotech and Pharma are ATH, while medical devices and insurers are not.

RowdyAuklet4000

Salesforce prints billions in free cash flow and trades at 10.5x forward earnings, and the market is treating it like a regional mall REIT. Meanwhile some semiconductor company that has never been profitable is up 40% this month.

the_secret_my_gf_dk

The compant is spinning off Ignite at 150M which will keep it listed on the Nasdaq. Once it stays listed. The new CEO is an absolute beast (former CEO of a $1B REIT). Once the spin off is done the company gets into offensive territory.

HunterMichael92

Agree, the company is financially sound in a interest-high environment, it is like a Marketplace REIT, that has upside potential from strong liquidity and expansion of products/services. They aren't boggled with store leases like PETCO and the debt other pet brands have. Hence, why I chose to heavily position my portfolio for upside from here.

_galaga_

I doubt anybody can explain exactly why you're seeing what you're seeing, tho. Bad managers harvesting fees and uninformed clients that don't have the financial expertise to understand how sub-optimal their portfolio looks? People with enough money to not care as much about the details? For some things like the guy with the REIT at 1.5% there could be some basic financial planning box checking going on. I've seen that with some advisors as well.

derpinard

For a kid, something in the defense sector could offer a simple link with news. Drone stocks tend to be cheap. Or maybe just a REIT like O or ARE, so he can feel like a landlord and get his monthly/quarterly paycheck

greytoc

FYI - OP is asking about a BDC - not a REIT.

anthematcurfew

So drop the RE from REIT

anthematcurfew

That’s just a REIT.

Familiar_Potato1244

Respect for actually running it instead of just yelling scam. But you've gone after the one number they already flagged as hypothetical and skipped the actual bet. The $29B, they literally label it "subject to actual pricing, utilization, deployment." That's a ceiling with a warning sign on it, not a forecast. Knocking it down isn't a takedown, it's tipping over something they handed you. Your power/solar math assumes each canopy's gotta be a closed energy island, power and cool 480 GPUs off its own 2,000 sq ft. That's not the model. It's compute on existing grid connected lots, solar offsetting load, storage buffering. Power sovereign means not needing a new hyperscale substation, not "runs 100% off its own roof.", it's a design they didn't even pitch. And the whole thing skips what you're buying at a $6M cap. Hyperscalers are getting blocked on power and land right now , and it's the entire reason a distributed REIT sited model exists. One binding deal + one running deployment re rates this whether or not the total caps way under $29B. Where you've actually got me: per canopy cooling cost and whether it's in the model. Don't have that, not gonna pretend I do. But, I think "physically impossible" is the wrong call.

OShaughnessy

Here's my quick mafs on the business, yeah? ### They say: | They Say | Quick Mafs | | -------- | ---------- | | Each canopy = 2,000 sq ft | 4M sq ft ÷ 2,000 sq ft = 2,000 canopies possible | | Each canopy holds 480 GPUs | 2,000 canopies × 480 GPUs = 960,000 GPUs total | | GPU rental = ~$30,488/year | 960,000 × $30,488 = $29B/year (TAM) | ### What's gotta happen: | What They Need | Reality Check | | -------------- | ------------- | | Sign binding REIT contract | Currently has non-binding LOI (could walk away) | | Build 2,000 canopies | 0 canopies built, 0 GPUs deployed, 0 revenue | | Buy 960,000 GPUs | GPUs cost $28-58 BILLION total | | Power all GPUs from solar | 480 GPUs need 80,000+ sq ft solar (canopy only 2,000 sq ft) | | Get paying customers | No contracts, no revenue, unproven business | | Stop burning $5M/year on audio | Current business loses $5M annually | ### Them vs. Laws governing our universe | What They Claim | Physical Reality | | --------------- | ---------------- | | 2,000 sq ft canopy fits 480 GPUs | 480 GPUs need 80,000+ sq ft of solar panels (40x bigger) | | Solar powers 480 GPUs | 480 GPUs need 0.42 MW; canopy produces 0.1 MW (4x too little) | | $29B annualized revenue | $0 revenue, 0 GPUs, 0 canopies, non-binding LOI | | "Zero-water liquid cooling" outdoors | 480 GPUs need industrial HVAC (this adds $millions$ in costs and can't fit in the canopy) | | Cooling costs included in rental | Cooling 480 GPUs = $hundreds of thousands$+/year per canopy (uncalculable?, not in model) | | "Power-sovereign" datacenter | Needs $millions$ in BESS + grid backup for 24/7 operation | | $250M DCF valuation | Current $6.9M cap = betting on all this math turning real | Bottom line: The TAM, as stated now, is physically impossible. Happy to hear a counter / where my calcs are off. Make of this what you will.

Alarmed-Camp8489

Thanks for the DD. Couple things I haven't seen mentioned that made me pull the trigger, because I think most of the bear takes in here will just look at the chart and go "down 90%, scam, next." The thing that flipped it for me is realizing this isn't a company diluting to stay alive. It's basically a clean shell being used to list four businesses that already exist. That's a totally different animal than your usual penny stock that's burning cash with no actual product. And they all run on one shared platform instead of four separate burns, so it's one small team leveraged across infra, healthcare, travel and audio. If even one of those works the rest is kind of free upside. Then there's the timing, which I think people are sleeping on. S-4 is already filed and in review, and the cash condition (the thing that usually kills these) is also already done with the $12M raise. So you're not hoping the deal gets funded. IT'S FUNDED. You're just waiting on it to close. That's a way smaller window of stuff that can go wrong, and it's shrinking every week. Most people are gonna find this after the ticker flips to MCFN and it's already run. Whole point is to be in before that. But the real reason I got in here is LT350. AI datacenters are getting straight up blocked right now over power and land. LT350's whole thing is distributed compute that gets around that (solar canopies, battery buffering, no-water cooling) on land that already exists, parking lots, hospital lots, whatever. And they've got an LOI with a REIT that owns like 200 properties. You don't even need the giant $29B number to be real. You need one hospital site to actually go live and the whole story changes. And the founder taking 80% in stock, 130+ patents, putting his own companies in... that's not a dude setting up to dump on you. That's a dude who thinks it's worth way more than this. So yeah. Floor's tight (we're basically sitting on the all-time low), catalysts are lined up and close, and the gap between a $6M cap and a $250M valuation is the kind of thing you almost never get with this much of the deal risk already gone. Obviously not advice, size it small, it's a microcap and the businesses are early and the $250M is their own model not a real quote. But "it dropped so it's a scam" is lazy. Real question is whether something real is showing up, and the filing, the funded cash, the REIT stuff all say yes.

Loose_Hornet4126

Land/REIT. You can put it into a remedial education you so desperately need

Kbarbs4421

I appreciate the detailed thoughts. Brevity can be dangerous in this sector. I agree that Trulieve (the parentco) has proven itself to be a top tier operator with strong fundamentals, though that's partially because it has a bit of a monopoly on its home state and expansion beyond that will eat into that moat. Harvest is the company they acquired. As for REITs in this sector, I've personally been skeptical and avoided them for three reasons. First, there are a lot of shit operators out there that are going atrophy or go under altogether, leading to defaults a la Pharmacann. Second, of federal reform leads to banking reforms, then I imagine traditional financing avenues will undercut the current REIT performance, though this is an assumption that I'd love to be countered on. Finally, if fed reform leads to interstate commerce, then I assume a lot of the smaller, state specific facilities will likely be absorbed into larger regional hubs (again, assumption). And I believe IIPR and NLCP both have large portfolios of small to mid regional sized facilities. Cumulatively, that feels like a REIT model that worked really well during prohibition, and may fail as things get more laissez faire.

Prestigious-Fix-3304

wild that utilities get absolutely wrecked when CPI runs hot but makes sense when you think about it. those dividend yields start looking less attractive when rates might go up and people rotate out of the "safe" plays been watching some REIT plays recently and this data confirms what I suspected about real estate sensitivity. the -0.88% delta is pretty brutal compared to like consumer defensive actually going positive during hot prints your timing might be solid too since we got that employment data suggesting things aren't cooling as fast as fed wants. just remember these sector rotations can be quick and violent so maybe don't go all in on one play curious if you looked at the timeframes for these moves? sometimes the initial reaction gets reversed in following days when people actually digest the numbers

gls2220

They aren't a REIT yet. That's likely several years away.

GloriousLebron

Short-term fully depends on how the overall market performs, especially AI, a lot will also depend on their new announcements. Long term is the goal since they're an REIT, they only brought 100MW online so far so they have a long way to go to actually get the revenue. give it 2-3 years

Top_Performance_732

2 btc, spx, short term bonds, a little in gold/metals, maybe REIT. Then keep a small bankroll to keep yoloing

RJ5R

That's like saying your $3,800/mo luxury apartment is basically free from a relative standpoint bc the REIT spent $100M to build the 400 unit complex

sl33ksnypr

It's a mortgage REIT $AGNC. I also have another stock that has paid similar yearly dividends but it's a shipping company. I hardly have any money in it though because I don't trust it that much. $TORO

L_DUB_U

What stock pays that high of a dividend? Is it a REIT?

adarkuccio

Fixed for you -> Realty Income (REIT), ticker: O

turkeybags

You fat fingered the ticker you're trying to pump. Classic WSB ETRACS Monthly Pay 1.5X Leveraged Mortgage REIT ETN (MVRL)

Ill_Ground_1572

Awesome dude. Well done! I am trying a similar approach. Between me and my wife we are up about $200k now. Too scared to buy options. I am also starting to buy some copper, gold and silver mining stocks because I think this will be a good area of growth for the next decade. Was this in an RRSP? You probably now this, but don't forget when you decide to retire, you could also buy Canadian dividend stocks and live off them tax free (up to $60k per year anyway if it's your only source of income). My neighbor did this with him and his wife. They made $120k per year and never paid a dime in taxes for 20 years. With their house paid off, had more money then they could spend. His biggest problem was donating the extra income when his dividends went over $120k to avoid taxes. That and he did rebalance and reinvest some of the dividends into different stocks to keep the total around 120 per year between the two of them. I believe he had about 12 different blue chip companies such as RBC, Suncor, TD, CNR, Enbridge, one of the REIT companies, one of the utilities if memory serves. But I haven't talked to him since we moved about a decade ago. But those stocks are all worth many multiples now.

Striking_Astronaut38

They did the same thing with their REIT. Good call on this one

thewimsey

If you are going to post something like this, you need to be a little more thorough. >The original 90-stock index was way too narrow to capture the massive post-WWII expansion of the US economy. 90 stocks was chosen because of the difficulty of updating the stocks daily before computers. Its expansion in 1957 had nothing to do with the postwar expansion of the US economy, and everything to do with the fact that everything could be calculated electronically. The S&P was, if not the first, one of the first fully electronic indexes. >Expanding it created the modern concept of "the market" and gave John Bogle the mathematical foundation to invent the first retail index fund in 1976. Why mention Bogle? He didn't invent the index, or create the first index fund. He did make the first fund available to non-institutional investors, 20 years after the S&P expanded to 500 stocks...but that's not much of a reason to name drop him. >While morally well-intentioned, an index's job is to ruthlessly reflect the reality of the market, not to act as an activist policing corporate governance. I mean, maybe. But the S&P 500 is a subset of the entire market and they've always had criteria for what they include and don't include. I get that you don't like this criteria, and I don't necessarily disagree with you, but if you really want to >ruthlessly reflect the reality of the market you should buy a total index fund. >This structurally drove up REIT valuations and permanently tethered commercial real estate closer to the broader stock market's volatility. Ultimately a good decision. This is not clear either. >Right now in mid-2026, they are quietly rewriting the rulebook to accommodate the incoming wave of massive IPOs like SpaceX and Anthropic. They aren't "rewriting the rulebook" and they aren't "quietly" doing anything. They are taking comments on whether they should change rules around profitability and the waiting period. Why not explain *exactly what they are doing?* It's a long enough article. >A lot of people treat the S&P 500 like it is a passive, mathematical law of nature. This is a kind of strawman argument designed to make what follows seem important. TL;DR: C-. See me in my office after class.

LookAtMyUnderbite

REIT investments are ass rofl long term investments that are so long, you can barely see the dot that is your profit. Playing landlord without any of the glory or reward. Is there at least a dividend? Why not just invest in AI and be at the top of the food chain? There are safer investments that make the same returns as REIT. You might as well invest in hotels like the good 'ol monopoly game analogy. You're better off investing into the energy sector if you're planning to piggy back off AI and datacenters. Real Estate is like the most bottom feeding bit for AI, land is cheap and a plenty for that demographic. You're going to be bag holding for a long time. Unless you know something I don't, if so, please educate me.

Downtown-Ad-9611

This was the only REIT I'd seen where the insiders routinely bought stock (per openinsider.com). Things have sure gotten rocky.

Accidental-Genius

Welltower is a REIT and it’s popping. Not all REIT’s are bad. Hell, there’s a pretty solid argument that McDonalds is a REIT wrapped in a bun.

madhattr999

> Many people when they stock pick avoid REITs. I just wondered if you knew why people were avoiding REITs.. Is it just that they are less aggressive? I have a REIT etf for diversification.

Jac_Mones

I am just a random fuck on the internet so take this with a grain of salt. I will tell you what I would buy. NLCP Why? Because they are a small cannabis REIT in a sector that is considered "risky" for stupid reasons. Their financials are rock solid, they pay an enormous dividend, and they have a P/E of like 12 right now.

Krasmaniandevil

I'm no accounting wizard, but IRM is a REIT and I believe that can make earnings wonky. The metric I see more often for valuing REITs is P/FFO.

srfdriver99

You can always invest in a REIT to get real estate exposure without dealing with the hassle. However, without the ability to juice it with leverage, it's generally not going to produce the returns. There are some anti-correlations to the S&P, but they're not in a way that is super useful, so I wouldn't recommend it as a super large portion of your portfolio. The big upshot is they spew out a ton of dividends, which is useful in retirement/unemployment situations, and there are non-residential REITs (datacenters, cell towers, etc) as well as triple net commercial (like the venerable $O) or you can just go for an ETF like VNQ (or VNQI and get international exposure, which you definitely aren't doing on your own). So it still serves a role in a diversified portfolio in my book, but a small one.

SaucyCouch

Yeah the main risk with buying 1 house vs investing in a Real Estate Investment Trust (RE fund ETF basically) is that if your 1 house is vacant, you’re screwed vs having a professionally managed portfolio of homes (could be up to 1000) You get lower returns from the REIT than just owning a rental property, but you do 0 work and have diversification. Basically you can invest in any sector and do no work through the stock market, you just have to choose wisely. Also just to mention the point about the leverage aspect: this can benefit you more because it magnifies gains, but the main risk is vacancy. If your property is not rented for 6-12 months, can you service the debt? If not you lose everything

Ill-Emergency-6949

MAA is a reasonable starting point for residential REIT exposure — Sunbelt-focused, strong same-store NOI growth historically, and the 25% drawdown reflects rate sensitivity rather than fundamental deterioration. The balance sheet is clean compared to peers. A few alternatives worth evaluating: EQR (Equity Residential) — coastal urban focus, higher quality tenant base, more rate-sensitive but better positioned if remote work reversal continues pushing people back to gateway cities. NMR/Camden Property Trust (CPT) — similar Sunbelt exposure to MAA but slightly smaller cap, historically strong dividend growth track record. INVH (Invitation Homes) — single-family rental rather than multifamily, different demand dynamics. Benefits from the same affordability crisis keeping people renting longer but with lower tenant turnover. The macro backdrop actually favors residential REITs right now despite rate pressure. Home affordability is at historic lows with mortgage rates above 7% — that structural demand for rental housing is not going away regardless of Fed policy. The risk is if Warsh cuts rates faster than expected, home buying resumes and rental demand softens at the margins. On Arrived specifically — you are right, the fee structure erodes returns significantly versus direct REIT exposure with full liquidity.

vcpowerlaw

Arrived is probably fine as a small learning allocation, but I wouldn’t treat it the same as direct real estate or even public apartment REITs. Private platforms tend to add fee layers and friction getting your money back out. Public REIT ETFs aren’t exactly fun, but at least you know what you own and you can sell whenever the market is open.

WesternPirate4448

If you are looking to pivot away from Arrived, Fundrise or Roots are probably the closest direct competitors in terms of a low barrier to entry, but the massive platform fees across all fractional platforms can really drag your net returns down below a basic high-yield savings account or a public REIT index like VNQ, fr. I have been moving most of my real estate allocation toward private credit funds lately because the yields are a lot more consistent than single-family vacation rentals that sit empty for months, lol. My current setup for tracking everything is Excel for running the raw cash flow math, Runable for spinning up custom visual dashboards and performance reports from my spreadsheets, and standard Vanguard tools to monitor my core index funds. Definitely check the liquidity lock-up terms on whatever alternative you pick because your capital will likely be completely frozen for a minimum of five to seven years, tbh.

junbun2

oh i forgot, I owned a bit of JEPI ... It's tied to S&P500 but they sell options for income i think. last year i think the div were 8.5% . how do you think this compares to REIT? I saw O div was 5.5% which is good. seems like both of them have -alpha compared to s&p 500 last few years.

SirGlass

I have always been skeptical of these crowd funded real estate investments. I mean we have multiple ways to fund a real estate venture, from getting a loan from a bank. To public REIT , to private REIT, to various other people who will gladly loan you money or do some sort of partnership with you. Rich people love real estate for all the tax advantages that come with it and will throw money at just about anything real estate related. Meaning I have always been skeptical of these companies that pitch real estate deals to retail investors. It probably means banks , private relestate companies or even private credit took a look at their plan and said "we going to pass" so they are now pitching it to retail investors with the promise of 12% returns.

Jax_Alltrade

NLCP and TCNNF. Cannabis rescheduling = tax write-offs = bigger profit margins = better MSOs / REIT performance. NLCP is an extremely well-run REIT with an amazing dividend, and TCNNF is one of the most connected, well-run MSOs in the industry. Additional tailwinds from the looming Hemp loophole deadline at the end of the year will propel profits even higher as a section of the $21.8 billion THCa hemp market either switches over to Medical / Recreational, or lobbying for full legalization drives hype.

notapersonaltrainer

Any look at his career, Warsh is an inflation hawk, even to a fault. He was banging the inflation drum years after TARP despite it never materializing. Meanwhile Powell, who Reddit suddenly has the biggest hard-on for: * Rate hikes came generationally late, with ZIRP and QE maintained well past the point when inflation had exceeded 5%. * Four consecutive years of above-target inflation. * Supervision failure. Known vulnerabilities at Silicon Valley Bank were not adequately addressed, culminating in failures on a scale not seen since the Global Financial Crisis. * Oversaw extremely high concentration of ethics and trading scandals, Robert Kaplan (stock trades), Eric Rosengren (REIT trades), Richard Clarida (portfolio), Raphael Bostic (blackout trades), Adriana Kugler (rule violations), Jerome Powell (trust trades), all before Cook and the renovations were brought up. Number one alone should put Powell's legacy alongside Arthur Burns. And unlike Burns, Powell had the cautionary hindsight of Burns' legacy. Collectively this was possibly the worst Fed term in central bank history.

red7standinby

Well, she lost a pile to a ponzi-REIT scam from her former accountant. He went to jail for it. Got convinced to purchase a couple rental houses across the country only to be fleeced by the property manager that talked her into it. Got out of that one and bought a couple condos in Mexico... and now trying to get out of these only to discover they were never properly titled. Finaly had a a chunk of cash from a divorce and for the first time in her life decided to invest in the market in January of this year. She called me in a panic in March saying she was going to sell becasue of the tarrifs (while down). She didn't listen to me.

cheezweiner

You know REIT dividends are legally bound to be extremely high right? All REITs **HAVE TO** pay 90% of all profits out as a dividend. It’s a law.

iamgover

This is exactly why the market feels untradeable right now — the macro playbook says pullback, but the liquidity playbook says buy the dip. Both are right at the same time, which means neither works cleanly. Honestly the hardest part isn't reading the macro. It's knowing whether any of this actually breaks your specific thesis on your specific holdings. Does sticky inflation matter to the REIT you've held for 3 years? Does it change the AI infrastructure story? Depends entirely on why you own what you own. That's the part I outsourced. I use [http://www.InvestorYachtClub.com](http://www.InvestorYachtClub.com) — you tell an AI agent your actual thesis in plain English, and it watches news, filings, and analyst actions through that lens 24/7. So instead of doomscrolling macro Twitter every time yields spike, I just get flagged if something actually threatens my position. Bad news not mattering unless it's catastrophic is kind of the point — you just need to know which catastrophic actually applies to you. 3 agents free, worth a look.

Fantastic-Ice-1402

Here's some slop/receipts to consume: IREN (IREN Ltd) and APLD (Applied Digital Corporation) are actively transforming from crypto-mining into key players in AI data center infrastructure. AMT (American Tower Corporation) is also heavily involved, serving the AI data center market through its subsidiary CoreSite. Here is a breakdown of their involvement in AI data centers as of mid-2026: 1. IREN (formerly Iris Energy) • Role: An AI cloud computing provider that is pivoting its crypto-mining capacity to high-performance computing (HPC) data centers using renewable energy. • AI Focus: IREN focuses on developing large-scale GPU clusters for AI training and inference. • Key Developments: As of May 2026, IREN partnered with NVIDIA to deploy up to 5 gigawatts of AI infrastructure. They also secured a major $9.7 billion, 200MW, five-year AI cloud contract with Microsoft. • Capacity: Currently, they are expanding to 150,000+ GPUs to support AI workloads. 2. APLD (Applied Digital Corporation) • Role: A builder and operator of next-generation, high-density data centers specifically designed for AI and high-performance computing (HPC). • AI Focus: APLD builds "AI Factories" to provide infrastructure for hyperscalers and enterprises, offering services including GPU compute power. • Key Developments: APLD has secured large-scale, long-term leasing deals, including with companies like CoreWeave, and has secured $2.15 billion in financing for large AI projects (Polaris Forge). 3. **AMT (American Tower Corporation)** • Role: A real estate investment trust (REIT) that owns and operates wireless infrastructure, with a significant data center portfolio. • AI Focus: AMT operates through its data center subsidiary, CoreSite, which provides colocation and interconnection services to support cloud and AI deployments. • Key Developments: They focus on "edge" data centers to support low-latency AI applications and continue to develop multitenant communications real estate to meet AI demand. IREN AI Cloud & Data Centers - Vertically integrated, 100% renewable energy focus, massive GPU deployment. APLD AI Data Center Hosting - Specialized in building high-density, liquid-cooled "AI Factories" **AMT Data Center REIT** - Large-scale, established owner of 28+ data centers (via CoreSite). Note: IREN and APLD are often considered high-growth, higher-risk players in the AI space, while AMT is a larger, more established infrastructure REIT.

dinnerthief

I bought fundrise as a REIT (essentially) back in 2019, saw they were doing the innovation fund and put an addition 25k into it because I wanted exposure to some non public companies. Put more in right before the IPO. Probably will cover my investment and leave the profit in for a bit. havent looked into a FA yet but probably will soon.