Best REITs to Invest In: Top Real Estate Investment Trusts for Property Investors

REITs (Real Estate Investment Trusts) offer a powerful way to invest in income‑producing real estate without owning physical buildings yourself. For property investors in Africa — or those aiming to diversify globally — the best REITs can provide dividends, liquidity, diversification, and exposure to commercial property markets like retail, office, industrial, and residential.

Below is a guide to high‑quality REITs that many investors consider when building diversified portfolios. African Land helps investors understand how REITs fit into broader property investment strategies, including comparing listed options with direct property ownership.

What Makes a REIT a “Best” Choice?

A top REIT typically offers:

• Strong & Stable Dividends: Reliable payouts from rental income

• Quality Property Portfolio: Well‑located assets with strong tenant demand

• Diversification: Exposure across property sectors and regions

• Professional Property & Financial Management: Experienced teams enhancing performance

• Liquidity: Traded on stock exchanges, making entry and exit easier

Evaluating these factors helps you shortlist the strongest REIT opportunities.

Top REITs Worth Considering

1. Prologis (Industrial)

A leading global industrial REIT focused on warehouses and logistics hubs. Demand for e‑commerce and distribution space supports strong occupancy and rental growth.

Why It’s Attractive:

• Exposure to industrial & logistics real estate

• Global diversification and growing demand trends

2. Simon Property Group (Retail)

One of the largest retail REITs, with a portfolio of shopping malls and premium outlet centres. Experienced management and strong tenant mix help navigate evolving retail trends.

Why It’s Attractive:

• Large, established retail footprint

• Income from long‑term tenant leases

3. Realty Income (Diversified)

Known as “The Monthly Dividend Company,” Realty Income owns diversified commercial properties with long‑term net leases and a strong history of consistent monthly dividends.

Why It’s Attractive:

• Monthly income distributions

• Diversified portfolio across retail and commercial tenants

4. Ventas (Healthcare & Mixed)

A major REIT with healthcare, senior living, and medical office properties. Demographic trends — especially aging populations — support long‑term demand.

Why It’s Attractive:

• Exposure to healthcare property segments

• Potential for defensive performance in various market conditions

5. Equity Residential (Residential)

Focuses on high‑demand urban rental housing. Strong locations and professional management help maintain high occupancy and rental income.

Why It’s Attractive:

• Residential property exposure

• Stable demand from long‑term renters

Top REITs in South Africa (Local Options)

For investors based in Africa — particularly South Africa — there are excellent domestic REIT options listed on the Johannesburg Stock Exchange (JSE):

Growthpoint Properties

One of South Africa’s largest listed property companies, with a diversified portfolio across office, retail, and industrial assets.

Why It’s Attractive:

• Local commercial property exposure

• Dividends backed by rent from major tenants

Redefine Properties

A diversified REIT with holdings in retail and office sectors, offering income and growth potential.

Why It’s Attractive:

• Balanced exposure to different commercial property types

• Established track record in the South African market

Fortress REIT

Focused on high‑quality office properties, often leased to reputable corporate tenants.

Why It’s Attractive:

• Income potential from office market dynamics

• Professional property management

How to Choose the Best REIT for You

When comparing REITs for investment, consider:

Dividend Yield & Stability
Look for REITs with reliable and sustainable dividend histories.

Property Type & Sector Exposure
Decide whether you prefer industrial, retail, residential, healthcare, or diversified portfolios.

Geographic Exposure
Global REITs offer diversification beyond local markets, while local REITs may offer currency and regional familiarity advantages.

Management Quality
Experienced teams with strong leasing and asset management histories tend to navigate market shifts better.

Liquidity & Accessibility
Select REITs traded on major stock exchanges for easier buying and selling.

African Land helps investors balance these factors when selecting REITs to match both income and long‑term growth goals.

How African Land Supports REIT Investing

African Land guides investors on how REITs fit into broader property investment strategies by:

• Explaining how REIT dividends compare with direct rental income

• Aligning REIT choices with personal risk tolerance and income goals

• Combining listed REIT exposure with physical property ownership

• Providing insights into market trends affecting property assets

This integrated perspective helps clients build diversified, resilient portfolios that balance income, growth, and risk.