Health care REITs own and manage a variety of health care-related real estate and collect rent from tenants. Health care REITs’ property types include senior living facilities, hospitals, medical office buildings and skilled nursing facilities.
Who Invests in Health Care REITs?
Many Americans may be unaware that they already have investments in REITs via their 401ks, Thrift Savings Plan (TSP), or other investment vehicle geared towards retirement. Large institutional investors, including pension funds, endowments, foundations, insurance companies, and bank departments, also invest in REITs as a cost effective and efficient way to gain exposure to the real estate asset class.
How to Invest in Health Care REITs
There are currently 15 health care REITs listed on the FTSE Nareit US Real Estate Indexes. Many investors acquire shares in these REITs via REIT mutual funds or exchange-traded funds (ETFs), but individuals can also invest directly in an office REIT with the help of a broker.
Overview
4/30/2023, Source: FTSE
Number of REITs
15
Dividend Yield
5.24%
YTD Total Return
5.89%
April Total Return
5.80%
2022 Total Return
-22.18%
Quarterly Data
Source: Nareit T-Tracker
Source: Nareit T-Tracker
| Q4 2022 | 2022 | |
|---|---|---|
| FFO ($M) | $1,198 | $6,310 |
| NOI ($M) | $2,287 | $9,380 |
| Dividends paid ($M) | $1,370 | $5,611 |
| SS NOI | 9.15% |
