Why Is Tanger Factory Outlet's Dividend Yield So High?
The real estate investment trust (REIT) sector was battered in 2022 as the Federal Reserve increased the prime lending rate in an effort to get outsized inflation back under control. REITs tend to utilize a lot of debt as part of their business model, so rising rates generally don't help these businesses. REITs often attract investors based on their dividend yields, and rising rates can cause a revaluation of the REIT as well.