Why Is BRT Apartments' Dividend So High?

Often it helps to compare a company to its peers when assessing how attractive it is as an investment. BRT Apartments (NYSE: BRT) stands above key apartment real estate investment trust (REIT) competitors when it comes to its 5.9% dividend yield. However, there are other factors that suggest the risk/reward trade-off isn't worth it.

BRT isn't a complex REIT -- it owns apartment buildings and rents units to tenants. There are nuances to the business, such as relatively short lease lengths, but it doesn't really do anything particularly different from any other apartment landlord. That said, one of the key industry bellwethers in the market is AvalonBay (NYSE: AVB). There's a notable difference between these two REITs when it comes to dividend yield.

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Source Fool.com