Alex Short, the manager of AEW UK REIT (LON:AEWU), explains to Proactive the strategy that has seen it comfortably out-perform its peer group recently.
The portfolio has been carefully pieced together one asset at a time rather than having to pay a premium to buy a portfolio.
Slightly shorter than average lease terms and a high weighting towards industrial properties have also worked in the trust’s favour.
The dividend yield is high, but payouts have been consistent since the trust listed five years ago.
The dividend has almost always been covered, adds Short, and if not has only been marginally uncovered.