Cohen & Steers Quality Income Realty Fund

RQI

Market cap $1.65B

For those who adopt a dividend strategy, having a “thermometer” with which to measure the real performance of our stocks is an immense advantage. This thermometer is NAV, a simple line on a graph that anyone can observe and understand without the need for calculations or interpretations. If it grows over the years, it means that the security earned its distributions: if it goes down, it means that it paid them at the expense of NAV.

Cohen & Steers Quality Income Realty Fund has bested its index for 20 years, providing its holders with massive sums of cash in hand. Your retirement expenses need to be met head-on. How will you do it? Our Income Method is designed to flood expenses in a sea of dividend income.

Cohen & Steers Quality Income Realty Fund (RQI) remains a compelling hold, with investors benefiting from a narrowing discount and a more favorable rate environment for REITs. Lower short-term rates reduce RQI's leverage costs, which can help support its high 7.75% yield, while long-term rate stability further aids performance. RQI's consistent monthly distributions and strong track record appeal to income investors, though the fund requires substantial capital gains to fully cover payouts.

For nearly five decades, US REITs have delivered stronger returns than broad US stocks in the 12 months following Federal Reserve easing cycles. Rate cuts may increase the attractiveness of REIT dividends, potentially making them a compelling option for investors seeking yield potential and portfolio diversification. Data centers, telecom infrastructure, and health care REITs have historically benefited the most from lower rates due to long-duration leases and capital-intensive models.

NEW YORK , Sept. 29, 2025 /PRNewswire/ -- This press release provides shareholders of Cohen & Steers Quality Income Realty Fund, Inc. (NYSE: RQI) (the "Fund") with information regarding the sources of the distribution to be paid on September 30, 2025 and cumulative distributions paid fiscal year-to-date.

REITs performed very well in August (+5.48%), almost pulling the REIT sector's year-to-date total return back into the black (-1.11%). Small cap (+7.52%) and mid cap REITs (+7.13%) averaged strong gains in August while large caps (+3.16%) and micro caps (+0.87%) averaged more modest returns. 83.87% of REIT securities had a positive total return in August.

Cohen & Steers Quality Income Realty Fund offers a 7.5% yield and trades at a slight discount to NAV, making it attractive for income investors. RQI's portfolio is diversified across leading REITs, with top holdings like WELL, AMT, DLR, and PLD demonstrating strong dividend growth and sector resilience. Risks include sensitivity to interest rates, leverage, and real estate market fluctuations, but RQI's consistent monthly distributions are well covered by income and gains.

Interest rates are very likely set to go down. This creates a fruitful ground for REIT bulls to become optimistic. Yet, there is an important caveat to this.

I maintain my buy rating on RQI, anticipating that upcoming interest rate cuts will catalyze a recovery in the real estate sector. RQI offers a compelling 7.7% yield with monthly payouts and has maintained consistent distributions for a decade, making it ideal for income-focused investors. The fund trades at a discount to NAV, provides broad diversification across real estate sub-sectors, and is well-positioned for sector-wide growth.

NEW YORK , Aug. 28, 2025 /PRNewswire/ -- This press release provides shareholders of Cohen & Steers Quality Income Realty Fund, Inc. (NYSE: RQI) (the "Fund") with information regarding the sources of the distribution to be paid on August 29, 2025 and cumulative distributions paid fiscal year-to-date. In December 2012, the Fund implemented a managed distribution policy in accordance with exemptive relief issued by the Securities and Exchange Commission.