
Some stocks give you the perfect blend of high yield and promising growth potential, including these two REITs.
Digital Realty Trust owns more than 300 data centers, and demand for its services is heating up due to cloud computing and AI workloads.
Stag Industrial owns more than 600 warehouse facilities that have large tenants like Amazon and FedEx.
If you want high yields, real estate investment trusts, or REITs, are one of the best places to look. While these corporations give out non-qualified dividends, that won't matter if you keep them in a Roth retirement account since you don't pay any taxes on capital gains, dividends, or withdrawals.
People will always need housing, and businesses will always need commercial locations. The two commercial REITs on this list serve long-term customers, which means predictable cash flow, high retention rates, and long-term growth for patient investors. They also have high dividend yields and continue to gain market share in their respective fields.
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Digital Realty Trust (NYSE: DLR) owns more than 300 data centers across 55 metropolitan areas and has more than 5,500 tenants. Not only is its customer base well-diversified, but it also includes tech giants like Microsoft, Amazon, Alphabet, and Nvidia.
It has the capacity for cloud computing and AI workloads, two megatrends that should act as long-term tailwinds. Furthermore, Digital Realty Trust generates revenue from customers extremely unlikely to walk away. Tech giants can't afford to give up cloud computing or AI capabilities at this stage.
That's part of the reason Digital Realty Trust has more than 80% occupancy across its data centers. The data center REIT also offered optimistic guidance that suggests $6.65 billion in full-year 2026 revenue. That midpoint represents an 8.8% year-over-year increase. All of this growth comes with a 2.8% yield.
While Digital Realty Trust specializes in data centers for tech giants, Stag Industrial (NYSE: STAG) provides warehouses for logistics leaders. There is some overlap among customers, and it's very hard for a company to justify moving out of a warehouse when it's still growing.
Warehouses help companies store inventory and establish new shipping points across the country. Stag Industrial has 601 buildings in 41 states and provides quarterly dividend payouts for investors. Its yield currently stands at 3.5%.
Stag Industrial is still gaining market share. Its net income increased 16.2% year over year in Q3 2025, and it added two buildings to its portfolio, both with 100% occupancy. The REIT achieved a 95.8% occupancy rate across its entire portfolio.
Amazon is Stag Industrial's largest customer, and they aren't going anywhere. It also has other logistics firms like FedEx and UPS as long-term customers. These companies will cut almost every other expense before giving up their warehouses. The arrangement provides plenty of predictable cash flow, and the REIT is more than happy to pay it out to investors as quarterly dividends.
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Marc Guberti has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Alphabet, Amazon, Digital Realty Trust, Microsoft, Nvidia, and United Parcel Service. The Motley Fool recommends FedEx and Stag Industrial. The Motley Fool has a disclosure policy.