For investors of Real Estate Investment Trusts, the appeal of the investment is usually pretty closely tied to the typically large dividends these companies pay out. But to focus on the dividend first is akin to putting the cart before the horse.
Before a REIT can pay a dividend, it must first create income. In the video below, Motley Fool contributor Jay Jenkins dives into the income engine of one such REIT, Resource Capital Corporation (ACR -2.72%), and discovers that in this case, this REIT is more of a lender than a direct investor in real estate.
