2 Under-The-Radar REITs Retirees Should Get Familiar With

Because of current laws, Real Estate Investment Trusts are popular among retirees. One reason is they're required by law to pay out most of their taxable income in the form of dividends.Moreover, if you're a retiree, this could be used to supplement your income in your later years. As a retiree, you often need less and look for stability in your life.REITs regularly provide this, as many offer low to mid-single digit growth. And while they may not blow your top off with astronomical capital appreciation, they do provide steady & reliable streams of income.That's why I think these two under-the-radar REITs can do just that. They are not as popular as some of their peers, but have solid fundamentals and are likely to continue paying dividends while providing some level of growth. In this article, I discuss two lesser-known REITs income-oriented investors should know.

REIT #2: American Assets Trust — AAT

Most of their properties are located in affluent areas, which I can personally attest to as I currently live in San Diego. I was also previously stationed in Honolulu, Hawaii while active duty and often visited their properties located on the island in the center of downtown Honolulu.Their properties also showed strong leasing percentages at 95% and 89% respectively for their retail and multifamily properties. Their office properties were similar to BFS' at 86% leased. Some of their notable tenants include Alphabet (GOOG), Autodesk (ADSK), Smartsheet (SMAR), and Lowe's (LOW).And like their peer Saul Centers, American Assets Trust's financials have also been resilient with solid growth the past 5 years. Unlike AAT, however, the latter was forced to cut its dividend during COVID-19 from $0.30 to $0.20 for a single quarter before getting back on the path to growth.Revenue over that same period grew from $367 million to $441.1 million. 2024 revenue estimates are $445.57 million, a solid growth rate of 21.4%.