If You Like Medical Properties Trust's High-Yielding Dividend, You Should Check Out This Even Healthier Option

Despite two dividend cuts in the past two years, Medical Properties Trust (NYSE: MPW) still offers a pretty enticing dividend. The hospital-focused real estate investment trust (REIT) yields around 6.5%. That's several times above the S&P 500, which currently has a less than 1.5% dividend yield. The healthcare REIT's high-yielding payout is finally getting healthier, which is making it a more enticing option for income-seeking investors. However, it's not as healthy as the nearly 5%-yielding dividend paid by NNN REIT (NYSE: NNN). The retail REIT recently delivered a milestone dividend increase. Medical Properties Trust's problems over the past two years have stemmed from one overarching issue: It took on too much risk. The REIT invested aggressively in expanding its portfolio by partnering with hospital operators that were aggressively expanding their networks. As a result, the hospital owner had a high tenant concentration, with more than 60% of its assets leased to its top five tenants at the end of 2022, and a significant percentage of its properties leased to operators that had stretched themselves too thin. When they ran into trouble and couldn't pay their rent, it had a significant impact on Medical Properties Trust's financial situation.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool