Top 5 Undervalued REIT Stocks to Buy Now

3. Millrose Properties, Inc. (NYSE:MRP)

Stock Upside Potential: 13.93%

Forward P/E: 12.59

Number of Hedge Fund Holders: 39

Millrose Properties Inc. (NYSE:MRP) is one of the top undervalued REIT stocks to buy now. On March 27, Millrose Properties Inc. (NYSE:MRP) amended a credit facility with JPMorgan Chase Bank, adding a $500 million term loan.

With the amendment, the company’s credit facility increases to $1.835 billion by combining the new term loan with a $1.335 billion unsecured revolving credit commitment. Borrowing under the credit facility carries an Adjusted Term SOFR plus a margin from 2% to 2.5%. Millrose Properties plans to use the proceeds from the credit agreement for general corporate purposes. Part of the funds will also be used to refinance existing indebtedness.

The company has rewarded investors with a $0.76 dividend per share, totaling $126.2 million. The dividend offering translated to an annual yield of 10.62%. The ability to return capital to shareholders in volatile markets affirmed the strength and durability of the company’s core business.

Millrose Properties, Inc. (NYSE:MRP) is a public land banking REIT that provides capital to residential homebuilders through its Homesite Option Purchase Platform (HOPP’R). It acquires and develops residential land, allowing homebuilders to secure control of homesites through option agreements rather than purchasing land directly, supporting a “land-light” strategy.