If you’re serious about making life-changing wealth, you need to learn about real estate.
The top-performing asset of the last 20 years continues to appreciate in value and generate significant cash flow in profit centers around the country.
With concerns about the global economy slowing, investors should turn their attention to markets that have a history of “weathering the storm.”
It’s the No. 1 place in the world for business, according to consulting giant McKinsey.
New York City alone represents 8.3% of U.S. GDP and approximately 2.5% of total global economic activity.
Fortunately for retail investors, it’s possible to access the Manhattan commercial real estate market for less than $100.
I’m going to show you show to generate income from properties like the Amazon.com New York headquarters, the wealthy properties right next to Madison Square Garden, and even the landmark Bloomberg building.
The best way to tap into real estate’s appreciation upside and strong dividend streams is to own a top REIT (real estate investment trust).
REITs have historically provided investors with high, steady dividends by generating income from working real estate assets.
These alternative investments can outperform in any market, and they provide distinct tax advantages that you rarely find anywhere else.
Let’s get started.
This REIT Is Paying a 4.2% Dividend and Could Jump Over 53%
Our top REIT to buy now is Vornado Realty Trust (NYSE: VNO).
Owning shares in Vornado Realty Trust is a lot like owning a key to the city.
The firm is one of the top owners of buildings in Manhattan. Roughly two-thirds of the company’s operating income is tied directly to New York City.
It controls 2.6 million square feet of street retail space. It also has roughly 20 million square feet of office space that it owns or manages. Just take a look at the crown jewel assets in this portfolio:
- Amazon’s NYC headquarters at 7 West 34th Street.
- Bloomberg’s headquarters at 731 Lexington Avenue.
- Neuberger Berman headquarters at 1290 Avenue of the Americas.
- More than 10 million square feet in the Penn District, including One Penn Plaza, which is right beside Madison Square Garden.
But the most important factor is Vornado’s Money Morning Stock VQScore™.
This proprietary system tracks the most profitable stocks – and REITs – in the public markets and assigns each a score. That score tells you whether shares are a “Buy,” “Hold,” or “Sell.”
Vornado Realty Trust sits atop our list of REITs for October with a 4.9 VQScore, indicating it’s a “Strong Buy” now.
Vornado Realty Trust pays a stable 4.2% dividend.
That’s an outstanding yield from cash-churning assets in the highly lucrative New York real estate market.
And given the expected growth and demand from the center of the financial universe, I anticipate that the stock will appreciate in the year ahead…
VNO stock currently trades at $62.50 per share. But the firm says that its net asset value sits closer to $96 per share.
That means that the stock is trading below the sum of its parts. Even if it ticks back to par value – which should happen with more money spilling into the real estate market – that target represents upside of 53.6%.
— Garrett Baldwin
Source: Money Morning