What is the Most Profitable REIT Based on One-Year Total Returns?
As of August 30, 2024, Iron Mountain Inc (IRM) stands out as the most profitable REIT over the last year, demonstrating a remarkable 84.64% total return. This performance indicates its strong growth and investor appeal within the real estate investment trust sector during that period.
Understanding REIT Profitability
When assessing the "most profitable" REIT, various metrics can be considered, such as net income, Funds From Operations (FFO), or total shareholder returns. For investors, total return—which includes both capital appreciation and dividends—is often a key indicator of profitability over a specific period. The following table highlights the top-performing REITs based on their one-year total returns as of August 30, 2024:
| Symbol | Name | 1 Year Total Returns (As of Aug. 30, 2024) |
|---|---|---|
| IRM | Iron Mountain Inc | 84.64% |
| ACR | ACRES Commercial Realty Corp | 82.19% |
| SLG | SL Green Realty Corp | 81.29% |
| NHI | National Health Investors Inc | 69.26% |
These figures represent the overall return an investor would have received from holding these REITs over the specified one-year period, combining share price appreciation and dividend payouts.
Top Performing REITs Explained
- Iron Mountain Inc (IRM): Primarily focuses on data management and storage, including physical and digital information. Its impressive returns reflect strong demand for secure data solutions in an increasingly digital world.
- ACRES Commercial Realty Corp (ACR): A commercial mortgage REIT that originates and manages commercial real estate loans. Its high returns suggest a successful year in its loan portfolio and investment strategies, particularly within commercial real estate debt.
- SL Green Realty Corp (SLG): Known as New York City's largest office landlord, this REIT invests in, manages, and develops Manhattan office properties. Its performance indicates a robust position and potential recovery or growth within the competitive urban real estate market.
- National Health Investors Inc (NHI): A healthcare REIT that invests in healthcare facilities such as skilled nursing facilities, senior housing, and medical office buildings. Its returns highlight the resilience and potential growth in the healthcare real estate sector, driven by demographic trends and essential services.
For further details on top-performing REITs and ETFs, you can refer to comprehensive analyses, such as the YCharts blog on 10 Best Performing REITs & REIT ETFs over the last 10 Years.
