Top ASX REITs to watch in 2025

What are REITs?

REIT stands for ‘real estate investment trust’ and refers to companies that own, operate or finance income-producing real estate. 

Here’s what makes them different from standard property companies:

• Structure: They’re set up as trusts, not standard corporations. Investors buy ‘units’ rather than shares
• Assets: They hold real estate – eg shopping centres, warehouses, offices, healthcare facilities or even farmland
• Income: By law, REITs must pay out most of their rental income (often 90%+) as distributions to investors. That makes them popular with people looking for a regular income
• Trading: You can buy and sell them on the ASX just like ordinary shares. Their prices move with property values, rental demand and interest rates

For example, Scentre Group owns Westfield shopping centres. When retailers do well, rents and property values can rise, which leads to higher distributions.

Rural Funds Group, on the other hand, owns farmland and leases it to agricultural businesses, so investors benefit from farm income without directly owning farmland.

Benefits of REITs for share and CFD traders

Share trading

• Regular income: REITs are required to pay out most of their rental income as distributions. This makes them popular with income-focused share traders who want a steady cash flow
• Diversification: By investing in a REIT, you gain exposure to a wide portfolio of properties. This reduces the risk of relying on one single property or tenant
• Accessibility: You can invest in large-scale commercial property (shopping centres, offices, warehouses, farms) without needing millions of dollars
• Professional management: Assets are managed by experienced property managers, which removes the need for share traders to deal with tenants or maintenance directly

CFD trading

• Liquidity: Unlike physical real estate, REITs are traded on the ASX. You can buy and sell larger A-REITs quickly, just like ordinary shares
• Volatility: This is driven by interest rates, economic data and sector news, which creates short-term trading opportunities

Risks of REITs for share and CFD traders

Share trading

• Interest rate sensitivity: Rising interest rates can reduce distributions and lower property valuations
• Limited capital growth: REITs pay out most income instead of reinvesting more heavily
• Sector concentration risks: For example, office REITs have been hit by work-from-home trends, while retail REITs have been affected by weak spending

CFD trading

• Volatility: While an advantage, high volatility can cut both ways, making trades risky if markets move against traders
• Dependence on short-term catalysts: When markets are quiet, opportunities may dry up 

Top 3 ASX REITs for share traders to watch in 2025

We chose these particular REITs based on their stability, predictable income and defensive characteristics. We considered factors such as:

• Long leases and reliable tenants
• Sector diversification
• Inflation protection
• Quality assets

Overview of these REITs

All of the REITs listed in this section of the article are available for share trading and CFD trading with us. 

1. Charter Hall Long WALE REIT (ASX: CLW)

Sector: Commercial and industrial

Market cap: A$3.12 billion¹

Charter Hall Long WALE REIT is focused on high-quality commercial office and industrial properties leased to long-term, blue-chip tenants, including government agencies and major corporations.

The ‘Long WALE’ in its name refers to its weighted average lease expiry, which is among the longest in the Australian REIT sector – often exceeding nine years. This extended lease profile provides share traders with a high degree of income predictability and security, making it particularly appealing for those seeking stable, long-term distributions.

By targeting long-term leases with reliable tenants, CLW reduces the risk of sudden vacancies or rental volatility, which is a significant advantage for investors who prioritise steady income over short-term capital gains.

The REIT’s portfolio is geographically diversified across key Australian capital cities.

Highlights:

• For long-term share traders, CLW is attractive because of its defensive characteristics; the reliance on government and investment-grade tenants ensures resilient cash flow even during economic downturns
• Its long lease terms protect investors from the immediate impacts of market fluctuations
• While the REIT is relatively stable, it’s not without risk. Interest rate increases can affect property valuations and borrowing costs, although the long-term nature of its leases mitigates some of the short-term sensitivity

2. Rural Funds Group (ASX: RFF)

Sector: Agricultural land and related infrastructure

Market cap: A$750.22 million²

Rural Funds Group offers share traders exposure to farmland without the complexities of direct ownership.

Its portfolio includes cropping and livestock properties, often leased to professional farming operators under long-term agreements. Many of these leases include inflation-linked rent increases, which help protect distributions against rising costs and support predictable income for share traders.

The REIT’s properties are spread across key agricultural regions in Australia, helping reduce risks associated with climate variability, local market fluctuations or sector-specific downturns. Its focus on professionally managed farmland means that day-to-day operations, tenant management and capital improvements are handled by experienced operators, relieving share traders of operational responsibilities.

For long-term share traders, RFF is particularly appealing due to its stable and inflation-protected income. Agricultural leases often have long durations, ensuring predictable cash flow, and the essential nature of food production provides a degree of defensive exposure not always found in office or retail REITs.

Highlights:

• Farmland as an asset class often exhibits low correlation with traditional commercial property sectors, offering additional diversification for a balanced portfolio
• It has also positioned itself to benefit from structural trends in agriculture, including rising global demand for food and limited availability of high-quality farmland in Australia. These factors support long-term growth
• Risks include weather and climate events, such as drought or flooding, which can affect crop yields and, indirectly, tenant cash flow

3. Dexus Industria REIT (ASX: DXI)

Sector: Industrial and logistics

Market cap: A$907.39 million³

Dexus Industria REIT specialises in warehouses, distribution centres and light industrial facilities, focusing on properties that are strategically located near transport hubs, ports and major urban centres. This makes it highly attractive to tenants in the ecommerce, retail and logistics sectors.

DXI’s portfolio includes a mix of long-term leased properties with stable tenants, providing predictable cash flow and potential for long-term capital growth.

The REIT benefits from the growing demand for ecommerce and logistics. As more people shop online, companies need more warehouse space to store and deliver goods efficiently. This trend has made industrial properties increasingly valuable, giving DXI opportunities to grow its rental income and property values over time.

DXI is attractive because it provides reliable income from its leases and generally has less risk of vacancies compared with other property types, like offices or retail; the properties tend to have long-term tenants, which means rent payments are predictable.

In addition, the industrial sector is less sensitive to short-term economic changes, giving share traders some protection during downturns.

Highlights:

• There are risks: If interest rates rise, it can make borrowing more expensive and affect property values
• There’s also the chance that oversupply in certain areas could limit rental growth – meaning, there could be more space available than there are tenants who need it. However, DXI reduces these risks by owning high-quality properties in locations that are in strong demand and leasing to a variety of tenants

Top 3 ASX REITs for CFD traders to watch in 2025

We picked these three REITs as suitable for CFD traders because of their volatility, liquidity and responsiveness to market catalysts. The following factors were also important in our analysis:

• Sector exposure
• News sensitivity

Overview of these REITs

The REITs in this section of our article are all available for CFD trading and share trading with us. 

1. Dexus (ASX: DXS)

Sector: Office and industrial

Market cap: A$7.72 billion⁴

Dexus is one of Australia’s largest real estate investment trusts, with a diversified portfolio of high-quality office and industrial properties. Historically known for its dominance in premium office towers in Sydney and Melbourne, the trust has also expanded into logistics and industrial assets, which now make up a growing portion of its portfolio.

This mix gives Dexus exposure to two very different sectors: offices, which face structural challenges post-Covid, and industrials, which have benefited from the rise in ecommerce and supply-chain demand.

The REIT has traditionally been popular with institutional tenants, offering long leases in prime CBD locations. However, the shift to hybrid work has created vacancy pressures and slower rental growth across much of the office market.

On the other hand, industrial and logistics assets remain in high demand, providing a buffer against weaker office conditions.

Highlights:

• Dexus has also undertaken funds management activities, giving it exposure to property investments beyond its direct balance sheet
• As one of the largest and most heavily traded A-REITs, its units respond quickly to shifts in economic sentiment, Reserve Bank of Australia (RBA) interest rate decisions and property market updates – making it popular among CFD traders
• It’s useful for trading around news flow. For example, positive surprises in employment or consumer data can lift confidence in office recovery, while weaker data or hawkish rate signals can pull the price down lower

2. Scentre Group (ASX: SCG)

Sector: Retail

Market cap: A$21.26 billion⁵

Scentre Group is an Australian real estate investment trust that owns and operates the Westfield shopping centre portfolio across Australia and New Zealand, making it one of the largest retail-focused A-REITs. Its portfolio spans premium retail centres in major metropolitan areas, offering a mix of retail, entertainment and dining tenants.

SCG generates income primarily through rent paid by retailers, which is influenced by consumer spending, sales performance and occupancy levels.

Its strategy focuses on maximising existing assets’ performance through refurbishment and re-tenanting. Scentre also emphasises innovation in customer experience, including integrating technology-driven retail solutions and experiential offerings to attract foot traffic.

For example, Scentre Group has introduced ‘click-and-collect’ zones in its Westfield shopping centres. This allows customers to order online from multiple retailers and pick up their items in a single convenient location.

Highlights:

• Retail REITs can be highly responsive to economic and consumer trends. Announcements such as quarterly retail sales, consumer confidence indices and interest rate changes can all drive price swings
• Being one of the most liquid retail REITs on the ASX, SCG allows traders to enter and exit positions efficiently, making it good for short-term trading strategies
• Online shopping trends, economic slowdowns or shifts in discretionary spending can put pressure on rental income and valuations – all of which lead to more opportunities for CFD traders to take advantage of

3. Vicinity Centres (ASX: VCX)

Sector: Retail

Market cap: A$11.59 billion⁶

Vicinity Centres focuses on retail shopping centres, with a portfolio of over 60 assets across metropolitan and regional Australia. It owns a mix of large-scale suburban malls and smaller centres, giving it exposure to a broad consumer base.

The trust generates income primarily through leases with retail tenants, which can be either fixed rents or turnover-based, meaning that its earnings are closely linked to tenant performance and consumer spending.

For CFD traders, Vicinity Centres is attractive due to its liquidity and sensitivity to economic data. Retail REITs respond quickly to announcements such as quarterly retail sales, consumer confidence or interest rate changes.

Updates on centre occupancy, tenant health or major refurbishment projects can also trigger price movements. Being one of the largest and most actively traded retail REITs on the ASX, VCX offers traders the opportunity to capitalise on short-term volatility in response to market news or broader economic trends.

Highlights:

• Vicinity Centres combines a diversified retail portfolio, strong brand recognition and proactive centre management, making it a highly liquid and responsive REIT
• Retail spending can fluctuate with economic conditions, and online shopping continues to pressure traditional mall traffic. This, of course, creates volatility for CFD traders to take a position on

How to trade ASX REITs with IG AU

CFDs

1. Open a CFD trading account with IG AU
2. Search for ASX REITs on the IG platform
3. Decide whether to go long (buy) or short (sell)
4. Choose your position size
5. Set stop-loss and limit orders
6. Place your trade and monitor it

Share trading

1. Open a share trading account with IG AU
2. Search for ASX REITs shares 
3. Choose the REITs you want to buy
4. Determine how many shares you want to purchase
5. Place your order
6. Monitor your investment and collect any dividends

FAQs about REITs

Footnotes
 

1. TradingView, September 2025
2. TradingView, September 2025
3. TradingView, September 2025
4. TradingView, September 2025
5. TradingView, September 2025
6. TradingView, September 2025