The most dependable dividend growers on the Singapore Exchange (SGX: S63) are often powered by something far less glamorous than the headlines suggest – the everyday economy.
While vehicle inspections, grocery runs, and government services won’t make for exciting dinner conversation, they generate the kind of steady, recurring cash flows that income-starved investors crave.
By turning daily necessities into rising payouts, these three stocks are proving that boring can indeed be beautiful for your portfolio.
United Hampshire US REIT (SGX: ODBU)
United Hampshire US REIT, or UHREIT, manages a portfolio of 20 grocery-anchored properties and two self-storage facilities across the United States.
The investment thesis here is simple: people need to eat regardless of how the economy is performing.
This fundamental necessity has powered an impressive distribution growth streak for the REIT.
For the full year ended 31 December 2025 (FY2025), the distribution per unit (DPU) climbed 8.1% year on year (YoY) to US$0.0439.
At a recent unit price of US$0.56, this reflects a trailing distribution yield of approximately 7.8%.
What makes this performance interesting is that it came despite a slight 1.7% dip in gross revenue and net property income.
This decline wasn’t due to poor performance but rather the strategic divestment of three properties.
Even with a smaller portfolio for part of the year, distributable income rose by 5.7%.
The boost came from new leases, rental escalations, and the timely acquisition of Dover Marketplace in Pennsylvania.
Furthermore, the REIT benefited from lower financing costs as it paid down debt and took advantage of the US Federal Reserve rate cuts.
The operational health of the REIT remains robust with a committed occupancy rate of 97.7% and a long weighted average lease expiry (WALE) of 7.7 years.
Management is also staying active, having recently acquired the Wallingford Fair Shopping Center in Connecticut, which is expected to provide further DPU uplift.
While the balance sheet is comfortable with a leverage ratio of 38.6%, Singapore-based investors should remember that distributions are paid in US dollars, which introduces a layer of currency fluctuation to your returns.
Elite UK REIT (SGX: MXNU)
If you are looking for non-discretionary demand, Elite UK REIT is a prime candidate.
It owns 148 predominantly freehold commercial properties across the United Kingdom, with the vast majority of its rent – over 92% – coming from the UK’s Department for Work and Pensions (DWP).
Essentially, these are the offices where citizens access essential welfare and employment services.
For FY2025, the REIT delivered a DPU of £0.0303, representing a 5.6% increase and a trailing yield of about 8.5% based on a unit price of £0.355.
The big news for the year was a landmark lease “regear” with the DWP.
This massive deal secured annual rents and significantly extended the portfolio WALE from a precarious 2.4 years to a much more stable 7.2 years.
By locking in these long-term agreements, the manager has cleared a major expiry hurdle that previously shadowed the stock.
The new leases also include inflation-linked rent reviews starting in 2028, providing a built-in hedge against rising costs.
However, investors should look under the hood of this growth.
The DPU increase was supported more by interest savings and tax benefits from green capital expenditure rather than organic growth in property income.
There is also the matter of tenant concentration; while the UK government is a gold-standard payor, having almost all your eggs in one basket means any shift in government property strategy is a risk worth watching.
That said, with occupancy at 98.6% and a pivot toward student accommodation in Dundee, the REIT is diversifying its horizons.
VICOM Ltd (SGX: WJP)
VICOM is a name familiar to almost every motorist in Singapore.
As a subsidiary of ComfortDelGro, it commands nearly 73% of the vehicle inspection market.
Because every car on the road is legally required to undergo regular testing, VICOM enjoys a revenue stream that is remarkably resilient.
The company posted a stellar FY2025, with revenue jumping 40.1% to S$167.4 million and net profit surging 45.1%.
This performance allowed the board to declare a total dividend of S$0.084 per share, a massive 44.8% jump from the previous year.
This surge was largely fueled by a one-off catalyst: the On-Board Unit (OBU) installation project for ERP 2.0.
While this provided a fantastic boost to the bottom line, investors should be careful not to expect this level of growth every year.
Management has already signaled that demand for these installations will taper off now that the project is substantially complete.
Consequently, the 4.7% trailing yield should be viewed through the lens of an exceptional year.
The real long-term appeal of VICOM lies in its “fortress” balance sheet, which boasts zero debt and a healthy cash pile.
While capital expenditure was high recently due to the construction of a new integrated testing hub at Jalan Papan, these costs should normalize from 2026 onwards.
As the new hub becomes fully operational, it could support higher cash flow generation.
For the conservative investor, VICOM remains a classic defensive play with a dominant market position and a history of rewarding shareholders.
Get Smart: The power of the everyday economy
Reliability often beats excitement.
These three companies prove that you don’t need to chase the next tech unicorn to find dividend growth.
Whether it is the grocery stores of America, the welfare offices of Britain, or the inspection centers of Singapore, these businesses provide the essential infrastructure of modern life.
While each company faced different challenges – from currency risks to tenant concentration and one-off project cycles – their ability to grow payouts highlights the importance of non-discretionary demand.
When a business provides something the public cannot do without, it gains a powerful foundation for long-term income.
As you evaluate your own portfolio, it pays to look beyond the headline growth numbers and ask: is this a business the world still needs on its worst day?
While your friends debate which tech stock to buy next, money is quietly flowing into these 5 Singapore companies you see every day. They are proven to have steady dividends and strong balance sheets. Our FREE report shows you exactly which ones and why they’re safer than flashy darlings everyone’s chasing. Download your free report now.
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Disclosure: Calvina Lee does not own any of the stocks mentioned. Chin Hui Leong contributed to the article and owns shares of VICOM.
