Got $1,000? This 6%-Yielding Dividend Stock Can Turn It Into More Than $60 of Annual Passive Income.

W. P. Carey, ticker symbol WPC, is a reliable income generator for investors. As a diversified real estate investment trust (REIT), it currently offers a dividend yield of over 6%, making it a more lucrative option compared to investing in an S&P 500 index fund with a lower yield of 1.3%.

The REIT owns a diverse portfolio of nearly 1,300 high-quality properties secured by long-term net leases with credit-worthy tenants, as well as 89 self-storage properties. This portfolio provides a steady and growing stream of rental income, with a significant portion tied to inflation or featuring fixed contractual rate increases. Over the years, the company has seen a 3% to 4% annual growth in rental income, thanks to inflation, which supports its high dividend payout strategy.

In addition to rental income, W. P. Carey focuses on acquisitions to drive growth. With plans to invest $1.5 billion to $2 billion this year, the company has already secured a substantial amount in new investments and has a pipeline of deals in progress. By strategically selling off properties with lower growth potential, the company aims to reinvest in assets with better long-term prospects, such as warehouse and industrial properties with secure leases.

Overall, W. P. Carey’s strong financial position and growth strategy position it as a solid option for investors looking for a reliable and steadily growing passive income stream.