D
espite market turbulence and a commercial sector in turmoil, nearly half of America's REITs bucked the trend by increasing their dividends in 2024. According to S&P Global Market Intelligence, almost 50% of REITs raised their payouts last year, with some sectors performing significantly better than others. The retail REIT sector was the biggest winner, with a staggering 80% (21 out of 27) of its members delivering increased shareholder dividends in 2024. This is a notable surprise, given that many expected the residential sector to be driven by higher dividends due to America's housing affordability crisis.

    The industrial sector also saw significant growth, with 77% of REITs paying shareholders a higher dividend than the previous year. The hotel sector experienced considerable upward movement as well, with some individual REITs boasting massive dividend increases. Park Hotels & Resorts led the pack with a 67% jump in its quarterly dividend, while RLJ Lodging Trust and other hotel REITs like Summit Hotel Properties and Xenia Hotels & Resorts also raised their payouts by significant margins. These results suggest that REIT investors are likely to see continued growth in 2025, despite ongoing market uncertainty.