riocan

While rising interest rates have increased the appeal of bonds and hurt REITs in the past year, RioCan remains an excellent way for investors to earn income. The trust continues to benefit as shoppers return to its malls, which should give it more room to raise distributions....

RioCan and Choice Properties continue to build new residential, office and industrial properties to cut their exposure to the retail industry. Their new properties should help both REITs raise investor distributions in the next few years. All in all, each trust remains attractive thanks to high-quality properties and tenants.


RIOCAN REAL ESTATE INVESTMENT TRUST, $21.52, is a buy. The REIT (Toronto symbol REI.UN; Units outstanding: 303.9 million; Market cap: $6.4 billion; TSINetwork Rating: Average; Dividend yield: 4.7%; www.riocan.com) owns all or part of 198 shopping centres and other properties across Canada, as well as 11 projects under development....

These two retail-focused REITs continue to benefit as shoppers return to their mall and other retail properties. Longer term, both REITs should also gain as they build more mixed-use properties with residential units.


CHOICE PROPERTIES REIT $14 is a buy. Canada’s biggest REIT (Toronto symbol CHP.UN; Cyclical-Growth Payer Portfolio; Manufacturing & Industry sector; Units outstanding: 723.5 million; Market cap: $10.1 billion; Distribution yield: 5.3%; Dividend Sustainability Rating: Above Average; www.choicereit.ca) owns 701 retail, industrial, office space and residential properties with 64.0 million square feet of gross leasable area....

RIOCAN REAL ESTATE INVESTMENT TRUST $21 is a buy. The REIT (Toronto symbol REI.UN; Aggressive Growth Portfolio, Manufacturing & Industry sector; Units outstanding: 303.9 million; Market cap: $6.4 billion; Price-to-sales ratio: 5.6; Distribution yield: 4.9%; TSINetwork Rating: Average; www.riocan.com) owns all or part of 202 shopping centres and other properties, as well as 12 projects under development.


RioCan continues to benefit as the economy re-opens....

Apart from the overall market decline, higher interest rates in Canada and the U.S. are the main reason for weakness in the shares of real-estate firms and REITs. So far this year, ETFs holding U.S. and Canadian REIT have lost around 20% of their value.


However, the outlook for almost all segments of the real estate market are now quite positive....

RIOCAN REAL ESTATE INVESTMENT TRUST, $20.43, is a buy. The REIT (Toronto symbol REI.UN; Units outstanding: 309.9 million; Market cap: $6.2 billion; TSINetwork Rating: Average; Dividend yield: 5.0%; www.riocan.com) is currently developing The Well, a major mixed-use project in the King Street West/Spadina area of downtown Toronto.


The Well comprises 1.2 million square feet of office space plus 320,000 square feet of retail....

RioCan mainly operates retail malls, which suffered at the height of the COVID-19 lockdowns of 2020. As a result, the REIT cut its distributions by a third. Now that most of its tenants have re-opened their stores, the trust is once again raising its monthly distributions.


We feel RioCan’s long-term prospects remain strong, particularly as it has substantially completed its plan to focus on six of Canada’s biggest urban centres....

IMPERIAL OIL LTD., $57.49, Toronto symbol IMO, is a buy.

This company gets about 60% of its production from oil sands operations in Alberta. Imperial also has conventional oil and natural gas operations in the West and holds stakes in projects off the coast of Atlantic Canada.

Imperial’s other operations include three refineries (one in Alberta, two in Ontario) and a petrochemical plant in Sarnia, Ontario....

The pace of new real estate development continues to accelerate as the COVID-19 pandemic eases. Here are two stocks that will let investors profit from this trend.


RIOCAN REAL ESTATE INVESTMENT TRUST $20 is a buy. The REIT (Toronto symbol REI.UN; Aggressive Growth Portfolio, Manufacturing & Industry sector; Units outstanding: 309.9 million; Market cap: $6.2 billion; Price-to-sales ratio: 5.3; Distribution yield: 5.1%; TSINetwork Rating: Average; www.riocan.com) owns all or part of 204 shopping centres and other properties, as well as 13 projects under development....

CGI INC., $102.54, Toronto symbol GIB.A, is your #1 Aggressive Buy for 2022.

The stock lets investors tap Canada’s largest provider of computer outsourcing services. It helps its clients automate certain routine functions like accounting and buying supplies....