Here's My Top Dividend Stock for 2026

Published: Monday, November 10, 2025 at 11:20 am

W.P. Carey: A Dividend Stock to Watch in 2026

In 2023, W.P. Carey, a net lease real estate investment trust (REIT), made a significant move by cutting its dividend after 24 consecutive years of increases. The company stated this decision was intended to position it for future growth.

Realty Income, a well-established net lease REIT with a market capitalization of $52 billion, is often considered the benchmark in this sector. It boasts a three-decade-long history of annual dividend increases and offers a dividend yield of 5.7%.

While Realty Income is a solid, foundational dividend investment, W.P. Carey, with a market cap of $14.5 billion, is expected to offer more growth potential in 2026 and beyond. This is partly due to its smaller size, allowing for more significant impact from investments. The 2023 dividend reduction was a strategic move, driven by W.P. Carey's exit from the office property market. The company has since resumed increasing its dividend quarterly.

The shift in focus towards industrial, warehouse, and retail assets has yielded positive results. In the third quarter of 2025, W.P. Carey's adjusted funds from operations (FFO) per share rose 5.9%, significantly outpacing Realty Income's 2.9% growth. Over the first nine months of 2025, W.P. Carey's FFO growth was over three times that of Realty Income.

W.P. Carey's dividend growth also reflects this trend. In the third quarter of 2025, its dividend was 4% higher than the same period in 2024, compared to Realty Income's 2.3% increase. W.P. Carey currently offers a dividend yield of 5.4%.

BNN's Perspective:

While Realty Income remains a reliable choice for income-focused investors, W.P. Carey's strategic repositioning and faster growth trajectory make it an attractive option for those seeking both income and potential capital appreciation. The company's focus on industrial and retail assets, coupled with its smaller size, positions it well for continued growth in the coming years. Investors should carefully consider their risk tolerance and investment goals when deciding between these two REITs.

Keywords: W.P. Carey, Realty Income, REIT, dividend, net lease, investment, growth, FFO, dividend yield, industrial, retail, warehouse

Full Story