After several lean years, income-focused investors have many more options following a significant interest rate surge. Higher rates make lower-risk income investments like bank CDs and bonds more attractive. It has also weighed on the valuation of many dividend-paying stocks, pushing up their yields.

Because of that, investors can turn idle cash into an even bigger passive income stream. Three magnificent dividend stocks for income seekers are Crown Castle (CCI -1.29%), Community Healthcare Trust (CHCT -0.77%), and VICI Properties (VICI 0.42%). Each can turn $1,000 into an attractive and growing dividend income stream.

A towering dividend

Crown Castle's stock has fallen 40% from its 52-week high, weighed down by rising rates and some customer-related headwinds. That has pushed the communication infrastructure REIT's dividend yield up to 5.5%. Crown Castle would turn a $1,000 investment into $55 of annual dividend income at that rate. That same investment in an S&P 500 index fund would produce about $17 of annual passive income. 

Crown Castle has an excellent track record of paying dividends. The company has grown its payout at a 9% compound annual rate since 2016.

The REIT expects to continue increasing its payout in the coming years. It set a long-term target of growing it at a 7% to 8% annual rate. While Crown Castle expects to fall short of that target over the next couple of years as it works through some headwinds, it anticipates that accelerating demand for communications infrastructure from 5G networks will produce dividend growth in line with its target over the longer term. 

A healthy dividend

Shares of Community Healthcare Trust have fallen about 20% from their 52-week high. That's pushed the healthcare REIT's dividend yield up to 5.1%.

The company has a magnificent dividend track record. Community Healthcare Trust has increased its dividend every quarter since its initial public offering in 2015. That puts it in a select group of publicly traded REITs that have grown their dividends at least once each year. 

That upward trend should continue. The REIT has a reasonable dividend payout ratio (72.5% of its adjusted funds from operations in the first quarter). Meanwhile, it has a conservative balance sheet. These factors give it the financial flexibility to continue acquiring income-producing healthcare properties. 

The company acquired seven properties for $23.4 million in the first quarter and had four more under contract for $19.7 million. It also has agreements to purchase nine more properties for $214.5 million as they wrap up construction in the coming years. These new investments will help grow the company's income, which should allow it to continue increasing its dividend. 

A low-risk wager

VICI Properties' share price has dipped about 10% from its 52-week high. That has its dividend yield up to 4.9%.

The company has put together a great record of paying dividends. It has increased the payout all five years since its formation, including by 8% late last year. 

That payout should keep heading higher. The experiential property REIT is coming off a transformational year in 2022. It acquired fellow gaming REIT MGM Growth Properties in a $17.2 billion deal. It also invested in several other gaming and non-gaming properties. These deals are driving industry-leading growth this year. Meanwhile, the company is building relationships to drive its next growth wave. 

It has ample financial flexibility to fund new deals. VICI's dividend payout ratio is below its 75% target, enabling it to retain cash to fund new deals. It also has a solid investment-grade balance sheet, giving it more financial flexibility. Meanwhile, its share price hasn't lost as much value as other REITs, which provides it with additional currency to make deals.

Exceptional passive income producers

Crown Castle, Community Healthcare Trust, and VICI Properties have magnificent dividend track records. They all offer above-average yields and have routinely increased their payouts. Because of that, they're great options for those seeking to turn some idle cash into an attractive and growing income stream.