Is This Casino REIT's Higher Yield Worth the Added Risk?
The casino sector is fairly concentrated, with a relatively small number of large players. So, too, is the casino real estate investment trust (REIT) niche, with just two notable companies focused exclusively on the property type -- Vici Properties (NYSE: VICI) and Gaming & Leisure Properties (NASDAQ: GLPI). There are some important differences between these two landlords, with one being that Gaming & Leisure's 5.9% yield is appreciably higher than Vici's 5%. But what else do investors need to know before making a choice here?
Casinos are interesting. Gaming is the most important feature, and this is what draws people to the properties. However, they generally also offer restaurants, stores, retail, and hospitality aspects as well. So they aren't exactly diversified properties, but they aren't just casinos, either. With so much under one roof, these assets tend to be very, very large.
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Source Fool.com
