Buy 2,000 shares of this top dividend stock for $308/month in passive income

One of the most important factors that many income investors overlook is how often a company pays its dividends. Sure, the quarterly earnings are great, but the monthly dividend payments are even better with a whole other level of cash flow consistency – especially when it comes from a Real Estate Investment Trust (REIT) that’s full of top-notch tenants and long-term leases.

Now consider owning 2,000 shares of this TSX-listed stock and sitting back as almost $308 is deposited into your account every month. It may sound like a dream, but that’s exactly how this REIT works.

In this article I will tell you why SmartCentres Real Estate Investment Trust (TSX:SRU.UN), one of Canada’s most reliable monthly dividend stocks, could be a smart choice for reliable income for long-term investors.

A top monthly dividend stock to buy in Canada

Simply put, Vaughan-based SmartCentres REIT owns one of Canada’s largest portfolios of income-producing retail and mixed-use properties.

After rising 8% over the past ten months, it currently trades at $26.18 per share and has a market cap of around $3.8 billion. For investors looking for regular income, its annualized dividend yield of approximately 7.1% makes it one of the most generous monthly dividend stocks on the TSX today.

Now let’s take a look at what has kept this REIT in good shape. SmartCentres will be launched in the third quarter of 2025 posted an existing and committed occupancy rate of 98.6% for the entire portfolio. That’s one of the highest among Canadian REITs and shows how resilient their leasing business is. During the quarter, the REIT leased an additional 68,000 square feet of space, bringing its year-to-date total to almost 394,000 square feet. On the plus side, it extended 84.3% of leases expiring this year, with rental growth of 8.4%, excluding tenants.

Notably, many of SmartCentres’ properties are anchored by very popular companies such as Walmart, Canadian band, LoblawAnd Dollarama. Such major players not only rent space, but also help drive traffic through entire shopping centers. This strong tenant base ensures financial stability and provides SmartCentres investors with confidence in monthly payouts.

The growth pipeline adds more reason to buy it now

With new facilities opening soon in Quebec and British Columbia, SmartCentres is actively expanding its self-storage footprint. The REIT recently closed on 13 townhomes in Vaughan and has nearly completed phase one of that project, with 111 of the 120 units already sold.

It also has a Canadian Tire flagship store under construction in Toronto and a large presence in the Vaughan Metropolitan Centre. I view these projects as income streams waiting to be unlocked, which gives me greater confidence in the REIT’s ability to continue paying high, reliable dividends every month.

COMPANY	RECENT PRICE	NUMBER OF SHARES	DIVIDEND	TOTAL PAYOUT	FREQUENCY
SmartCentres REIT	$26.18	2,000	$0.15417	$308.34	Monthly
Prices as of November 18, 2025

Silly bottom line

If you buy 2,000 shares of SmartCentres REIT at the current market price, you’ll earn about $308 in passive income every month, or about $3,708 per year. But that would also mean investing almost €52,360 in one share. Instead of putting so much into just one or two picks, you might want to spread it across a few quality dividend stocks to diversify your income portfolio.