Better Dividend Stock: Sun Communities vs. Agree Realty
Real estate investment trusts (REITs) are generally income investments, but they all go about the income theme a bit differently. For example, Sun Communities (NYSE: SUI) is often viewed as a growth-oriented REIT, while a REIT like Realty Income (NYSE: O) is all about a sustainable high yield. If you lean more toward Sun Communities, then you might want to examine Realty Income competitor Agree Realty (NYSE: ADC) instead. Here's why.
Sun Communities owns mobile home parks and RV resorts. It is one of the largest players in each of these niches. The expectation is that the increasing number of older people will lead to solid, long-term growth for the REIT's assets. That's likely to be true since mobile home parks are a lower-cost living option than other types of housing. Meanwhile, the RV lifestyle tends to attract loyal adherents. There's no reason to believe that the big picture growth angle here isn't going to pan out as expected.
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Source Fool.com
