Best REITs to Invest In: Smart Property Investment Options for African and Global Investors

Investing in Real Estate Investment Trusts (REITs) is one of the most accessible ways to gain exposure to real estate without directly owning physical properties. REITs pool investor capital to acquire and manage income‑producing assets — such as office buildings, shopping centres, industrial parks, and residential properties — and then distribute rental income as dividends.

For African investors and those interested in international diversification, choosing the best REITs to invest in can provide steady income, liquidity, and portfolio diversification alongside long‑term growth potential.

What Makes a REIT a Strong Investment

Before highlighting top REITs, it helps to understand why certain REITs stand out:

• Strong Dividend Yields: Regular income distributions backed by stable rental cash flows.

• Diversified Portfolios: REITs with a mix of property types or geographies can reduce risk.

• Experienced Management: Professional asset management improves occupancy and rental performance.

• Market Position: Larger REITs often benefit from scale, strong tenant relationships, and access to capital.

• Property Quality: High‑demand locations and modern facilities appeal to tenants and investors alike.

Investors should consider these factors — along with personal risk tolerance, investment horizon, and diversification goals — when selecting REITs.

Best REITs to Invest In (Global Leaders)

Here are widely regarded REITs that have historically offered strong performance and are often on investors’ radar:

1. Simon Property Group

A leading retail REIT with an extensive portfolio of shopping malls and premium outlet centres. Its size and tenant mix provide resilience and yield potential.

2. Prologis

Focuses on industrial and logistics real estate, benefiting from global e‑commerce demand. Prologis’s large global footprint makes it a favourite for growth‑oriented income investors.

3. Public Storage

Specialises in storage facilities, a segment that often delivers resilient cash flow due to steady demand even in economic shifts.

4. Equity Residential

A residential REIT with a strong presence in high‑demand urban rental markets, offering stability through diversified tenant bases.

5. Realty Income

Known as “The Monthly Dividend Company,” Realty Income owns retail and commercial properties with long‑term lease agreements and a history of consistent payouts.

Best REITs to Consider Within Africa

Africa’s REIT landscape is developing rapidly, especially in markets like South Africa. Some of the notable REITs include:

Growthpoint Properties

One of Africa’s largest listed property companies with diversified holdings across offices, retail, and industrial properties. It offers exposure to core commercial real estate.

Redefine Properties

A diversified REIT focused on income‑producing urban properties with a presence in key sectors like retail and office space.

Fortress REIT

Known for investing in high‑quality commercial properties, attracting multinational tenants and delivering competitive yields.

These REITs give investors access to local real estate markets while benefiting from professional management and dividend income.

How to Choose the Best REITs for You

When evaluating the best REITs to invest in, consider:

1. Dividend Yield and Stability
Look for REITs with reliable dividend histories and yield levels that align with your income goals.

2. Property Type and Geographic Exposure
Different REITs focus on commercial, residential, industrial, or retail sectors. Geographic diversification — including African and global exposure — helps balance risk.

3. Management Quality
Experienced management teams navigate market cycles, maintain tenant relationships, and pursue strategic growth.

4. Liquidity and Accessibility
Publicly traded REITs listed on major exchanges provide liquidity and transparency.

5. Long‑Term Growth Potential
Assess trends in urbanisation, property demand, and economic growth that may underpin future value.

African investors may also look at local REIT regimes (such as those in South Africa) to build a diversified mix of domestic and global property exposure.

How African Land Supports REIT Investment Strategies

African Land helps investors understand and select REIT investments by providing:

• Market insights on property sectors driving REIT performance

• Analysis of rental yields and capital growth trends

• Guidance on portfolio diversification with REITs and direct property

• Strategy sessions to align REIT choices with long‑term financial goals

By combining REITs with direct property holdings — including residential, commercial, and land assets — African Land helps investors build resilient, diversified property portfolios across markets.