
REIT Dividend Traps To Avoid In 2026
Alexandria's recent dividend cut came as a surprise to many of us. I expect many more bad surprises in 2026. Avoid these REITs to protect your portfolio.
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Alexandria's recent dividend cut came as a surprise to many of us. I expect many more bad surprises in 2026. Avoid these REITs to protect your portfolio.

Quality and growth dictate long-term returns. Industrial, data centers, self-storage, and co-working are great property sectors for long-term-oriented investors. If I had to pick just 3 REITs for the next 10 years, it would be these.

International Workplace Group plc (OTCPK:IWGFF) Q3 2025 Sales Call November 4, 2025 4:00 AM EST Company Participants Mark Dixon - Founder, CEO & Executive Director Charlie Steel - CFO & Director Conference Call Participants Michael Donnelly - Investec Bank plc, Research Division Paul May - Barclays Bank PLC, Research Division Alex Smith Steven Woolf - Deutsche Bank AG, Research Division Allen Wells - Jefferies LLC, Research Division Presentation Operator Good morning, and welcome to the International Workplace Group plc Third Quarter Trading Update. This call is being recorded.

Office REITs are cheap and often pitched as great investment opportunities. I strongly disagree and expect more pain ahead. Bulls are ignoring two important risks that could cost them dearly.

Investors commonly overreact to short-term news. This can lead to great long-term buying opportunities. I present 3 great opportunities to buy the dip.

Shares in flexible workspace operator IWG PLC (LSE:IWG) fell 17% on Tuesday after the group warned that full-year earnings would come in at the lower end of its previously guided range. The owner of the Regus office chain said adjusted earnings before interest, tax, depreciation and amortisation (EBITDA) for 2025 would likely be closer to $525 million than the top end of $565 million, citing higher investment in its Managed and Franchise division.

REITs are often bought for their high dividend yields. But look out for dividend traps. Not all of them are sustainable. I highlight several pending REIT dividend disasters.

Artificial intelligence is set to revolutionize the world we live in. I think that it is a major headwind for most stocks. But it could turn into a huge tailwind for certain real assets.

Overall, I am very bullish on REITs. But there are exceptions. I highlight two REITs that I would sell if I owned them today.

Mark Dixon, the CEO of IWG, discusses the firm's latest financial results.

IWG plc is expected to trade sideways due to muted growth prospects and a prolonged balance sheet deleveraging strategy. The company's shift to a capital-light model aims for long-term sustainability but won't significantly boost near-term growth. IWG's revenue from managed segments is low, and its overall growth prospects remain limited despite improved operating efficiency.

Low valuation + catalyst = big profits. Some real estate companies have gotten really cheap recently. I present 3 of my largest holdings going into 2025.

I don't invest only in REITs. Diversification is the only free lunch. I discuss two of my largest non-REIT dividend investments.

International Workplace Group plc is a close peer of WeWork but far bigger. Its recent shift to a capital-light business model has massive potential. Yet, IWGFF is today priced at an incredibly low valuation, offering significant upside potential for investors in the coming years.

IWG (LON: IWG) share price continued retreating after the company published its financial results and expressed hopes to decamp to the US. The stock retreated to 171.6p on Tuesday, down from the year-to-date high of 202.4p.

The FTSE 100 index remained in a tight range this week even as some of its biggest constituents like IAG, Abrdn, Croda, Just Eat Takeaway, St. James Place, and the LSE published their financial results.

FRANKFURT-INNENSTADT II, GERMANY / ACCESSWIRE / January 22, 2024 / IWG Finance AG plans to propel the global expansion of the real-time telemedicine platform, Doctors365, with its highest single investment in the millions. Currently available in German and 11 other languages, the healthcare portal has garnered enthusiasm from Claire Summerfield, a board member of IWG Finance AG, who highlights the team's excitement for Doctors365 : "We see significant potential in this company.

Shares in IWG PLC advanced 4.1% after it announced a resumption of dividends ahead of an investor day in New York. The workspace provider that owns Regus said it is planning to restart “its progressive dividend policy” with a final dividend, expected to be 1p per share to be announced alongside 2023 fulkl-year results.

Miami, Florida--(Newsfile Corp. - October 5, 2023) - GoGlobal, a leading Employer of Record (EOR), is pleased to announce its partnership with IWG, the parent company of Regus, Spaces, HQ and Signature. This collaboration allows GoGlobal to provide office space and hybrid working solutions to client talent in almost any location where the company offers direct services.

IWG (LON: IWG) share price has wavered recently as investors wait for the next catalyst. The shares were trading at 170p on Tuesday, a few points below last month's high of 181p.