The safest monthly dividend on the TSX right now?

If you want a safe monthly dividend, you need more than a nice return. You need evidence that the economy can continue to pay when the economy becomes chaotic. Start with the cash flow, not the headlines. Look for a payout that leaves breathing room after interest costs and real estate expenses. Check the tenant list and lease terms, as one big tenant can make a ‘safe’ dividend stock feel very vulnerable. Next, look at debt and refinancing dates, as real estate investment trusts (REITs) could come under pressure if interest rates remain high for longer.

GRT

Granite REIT (TSX:GRT.UN), owns and manages industrial and logistics properties in North America and Europe. It is adjacent to warehouses, distribution centers and modern industrial spaces that tenants actually want to use. Over the past year, it continued to push the boring stuff that dividend investors love: higher occupancy rates, steeper rent differentials and steady rentals. In its Q3 2025 update, the company reported an occupancy rate of 96.8%, and committed occupancy reached 97.1% shortly after the quarter end.

It also did something that usually expresses confidence. Granite increased its target annualized distribution by 4.41% to $3.55 per unit, or $0.2958 per month, beginning with the December 2025 distribution paid in mid-January 2026. Later, the January 2026 benefit was declared at the same monthly level of $0.2958.

The news flow in early 2026 showed that Granite remained active, but not recklessly. On Jan. 14, 2026, it announced about $292 million in acquisitions and about $190 million in divestitures, plus a leasing update that included 769,000 square feet of new leases in the fourth quarter of 2025. It also said occupancy at the time was 98%, which is the kind of numbers that make investors with monthly income sleep better. Still, buying and selling assets always involves execution risk, and this can be difficult if interest rates move in the wrong direction.

Revenue support

Earnings numbers provide the clearest insight into the safety of dividends, and Granite’s last quarter looked solid. In the third quarter of 2025, it reported revenue of $153.0 million and net operating income of $127.1 million. Funds from operations totaled $89.9 million, or $1.48 per unit, while adjusted funds from operations (AFFO) totaled $77.0 million, or $1.26 per unit. These numbers were up from the previous year, and that’s more important than any price chart.

Payout coverage also looked healthy. Granite’s AFFO payout ratio was 67% in Q3 2025. That’s not a guarantee, but it’s a comforting cushion, especially for a monthly payer. It also had cash worth about $127.9 million and total debt of about $3.34 billion, with a net leverage ratio of 35%. That level of leverage isn’t scary, but it does mean that dividend stocks need to be refinanced smoothly and occupancy rates need to remain high.

However, granite is still highly dependent on it Magnawhich accounted for 27% of annualized revenue in the third quarter of 2025. This concentration of tenants can work well for years, until suddenly it is no longer the case. Industrial real estate also lives and dies by business confidence. If there is a slowdown and vacancy increases, renewals become more difficult and rental differences shrink. Granite also has significant exposure to Europe and the US, meaning currencies can flatter results in one quarter and sting in the next.

In short

So, is this the safest monthly dividend stock right now? It is a strong candidate because it combines a high occupancy rate with covered distribution and a portfolio that fits today’s logistics-heavy economy. It could be a buy for investors who want a reliable monthly income and can handle normal fluctuations in dividend stocks. And I mean, this is what $7,000 could get you today.

It could be a good solution for anyone who doesn’t want the risk of tenant concentration or who can’t tolerate unit price volatility when interest rates and real estate sentiment deteriorate. When you buy it, you don’t buy perfection. You buy a well-run income machine and it is your job to continue to monitor the coverage ratio and the tenant story.