Multibagger stock ideas: Top 3 Canadian REITs Paying Monthly Dividends in 2025

 

📌 Introduction

Looking for steady monthly income from Canadian stocks in 2025? Real Estate Investment Trusts (REITs) listed on the Toronto Stock Exchange (TSX) offer one of the best passive income opportunities — with tax-advantaged distributions and monthly payouts.

In this article, we’ll reveal 3 top-performing Canadian REITs that are:

• Paying monthly dividends

• Offering attractive yields (5%–9%)

• Backed by stable, inflation-resistant assets

Let’s explore these hidden income gems before the 2025 interest rate cycle turns.

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🏢 1. SmartCentres REIT (TSX: SRU.UN)

• Price (July 2025): CAD 18.30

• Dividend Yield: ~7.2%

• Payout Frequency: Monthly

• Sector: Retail / Walmart-anchored shopping centres

🔎 Why It’s a Top Pick:

SmartCentres owns over 180 retail properties, many anchored by Walmart, giving it long-term lease stability. Despite recession fears, the REIT maintained full dividend payouts throughout 2024–2025.

• Strong balance sheet (low debt-to-assets)

• Monthly payout of $0.154/unit — steady and reliable

• Resilience even during high inflation cycles

✅ Ideal for investors seeking a low-risk monthly payout REIT.

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🏬 2. NorthWest Healthcare Properties REIT (TSX: NWH.UN)

• Price (July 2025): CAD 3.59

• Dividend Yield: ~9.4%

• Payout Frequency: Monthly

• Sector: Healthcare / Hospitals / Clinics

🔎 Why It’s a Top Pick:

This REIT specializes in leasing medical facilities across Canada, Europe, and Australia. With long-term government and healthcare tenants, it offers ultra-stable cash flows.

• Long-term leases averaging 14 years

• Monthly dividend of $0.033/unit

• Massive upside as demand for healthcare real estate rises

✅ Great for high yield + global healthcare exposure.

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🏙️ 3. Dream Industrial REIT (TSX: DIR.UN)

• Price (July 2025): CAD 8.70

• Dividend Yield: ~5.9%

• Payout Frequency: Monthly

• Sector: Industrial / Logistics / Warehouses

🔎 Why It’s a Top Pick:

Dream Industrial is a rising star in logistics and e-commerce warehousing, with properties across Canada, U.S., and Europe. As e-commerce keeps booming post-COVID, this REIT has become a favourite among growth + income investors.

• Consistent occupancy rate above 97%

• Growing FFO (Funds From Operations) YoY

• Monthly dividend of $0.078/unit

✅ Perfect mix of growth + monthly income for modern portfolios.

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💼 Final Thoughts: Why Monthly REITs Make Sense in 2025

Canadian investors in 2025 are increasingly shifting from risky growth stocks to stable dividend-paying REITs — especially those offering monthly payouts.

These 3 REITs not only offer:

• Stable cash flow

• Attractive yields

• Strong asset backing

But also ensure you get consistent passive income, perfect for retirement planning or regular monthly returns.

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❓ FAQ 

Q1. What is a REIT and how does it work in Canada?

A REIT is a company that owns and manages income-generating real estate. In Canada, REITs trade on TSX and pay out most of their income as dividends to investors.

Q2. Why are monthly dividend REITs popular in Canada?

They provide predictable monthly income, which is ideal for retirees, passive investors, and anyone seeking steady cash flow.

Q3. Are Canadian REIT dividends taxable?

Yes, but some distributions may be return of capital, which is tax-deferred. Always check with a tax advisor.

Q4. Are REITs better than GICs or Bonds in 2025?

REITs offer higher yields than GICs and potential for capital appreciation, though with slightly higher risk.

Piyush Sharma

Qualifications: MBA (India), MBA (Australia), Master of Professional Accounting (Australia).

18+ years in the Indian stock market and running this website for 15+ years. Founder of PS International Group and Hamarijeet.com — popular for study-visa guidance, career help, government schemes, jobs and digital product updates.

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