Should You Invest in Realty Income Right Now?
Real estate investment trust (REIT) Realty Income (NYSE: O) is a net-lease giant and industry bellwether. Investors often afford it a premium price, and for good reason. Here's why this REIT is such an attractive investment option and why the price Mr. Market is asking right now is probably just a little too high.
Realty Income uses a net lease approach, which means it owns properties whose tenants are responsible for most of the operating costs of the places they occupy. Any single property is high risk, because net-lease assets are generally single tenant. But over a large portfolio, the risk is fairly minimal and operating costs are very low. Realty Income's portfolio includes more than 11,000 properties.
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Source Fool.com
