Duke Realty Corp (DRE), Health Care REIT, Inc. (HCN): Reap Dividends and Profits in Real Estate, the Easy Way

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Realty Income Corp (NYSE:O) advanced 12%, and yields 4.7%. It’s a retail REIT, and rather dependable, recently upping its payout for the 72nd time since it went public in 1994, and making more than 500 consecutive monthly payments over several decades. The company just announced record operating results in its second quarter, with revenue jumping 63%, and FFO per share gained 22%. Occupancy rates rose, too, from 97%, to 98%. Recent acquisitions include American Realty Capital Trust Inc (NASDAQ:ARCT). Trading near its 52-week high, it’s not a screaming bargain right now.

Other companies didn’t do as well last year, but could see their fortunes change in the coming years. HCP, Inc. (NYSE:HCP), focused on health-care properties, tacked on just 2%, and yields 4.5%. Like Health Care REIT, Inc. (NYSE:HCN), it has grown rather large (with a market capitalization topping $20 billion), and that can slow its growth rate. Some worry about health-care reforms possibly reducing profits from senior-serving properties, but HCP, Inc. (NYSE:HCP) is relatively well positioned, with a significant portion of its patients paying for their own care. Another of its advantages is its focus on triple-net leases, where tenants pay for operating expenses.

The big picture
Demand for real estate isn’t going away anytime soon. A well-chosen ETF can grant you instant diversification across any industry or group of companies — and make investing in and profiting from it that much easier.

The article Reap Dividends and Profits in Real Estate, the Easy Way originally appeared on Fool.com.

Longtime Fool contributor Selena Maranjian has no position in any stocks mentioned. The Motley Fool recommends Health Care REIT.

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