ASX dividend shares with large dividend yields could be particularly appealing right now due to the RBA's multiple rate cuts this year.
Returns on cash in the bank have been significantly reduced, so businesses that can offer a yield that's significantly above what term deposits can provide look particularly appealing.
Both of the businesses I'll highlight have provided guidance for sizable payouts in the year ahead. Let's get into them.
Charter Hall Long WALE REIT (ASX: CLW)
The real estate investment trust (REIT) sector can be a good opportunity to find higher-yielding stocks, particularly if they're trading at a sizeable discount to their underlying net asset value (NAV) – the NAV tells investors how much each share/unit is worth after taking into account all of the property values, the loans, and so on.
The Charter Hall Long WALE REIT has a diversified property portfolio spread across a variety of subsectors, including hotels and pubs, service stations, telecommunication exchanges, data centres, distribution centres, buildings leased to a government entity (such as GeoScience Australia), and more.
I like the diversification it offers, as well as the long-term rental contracts, giving the business significant income security and visibility. It has a weighted average lease expiry (WALE) of around nine years.
In terms of the valuation, its NAV was $4.59 at 30 June 2025, so it's trading at a discount of around 10% to this.
The ASX dividend share expects to increase its annual payout to 25.5 cents per share in FY26. At the time of writing, that translates into a possible distribution yield of 6.2%.
Centuria Office REIT (ASX: COF)
The office sector of the commercial property world has been through a challenging time due to the significant shift to working from home over the last six years, although some of that change has since unwound.
This dynamic has created a headwind for demand for office space, occupancy, and rental income. I believe the Centuria Office REIT could be undervalued, considering it's still generating solid rental profits and paying a large distribution.
Management of the business is optimistic about the medium term because of the expectation that higher replacement costs (to build new offices) and office withdrawals for alternate-use will "drastically reduce future supply and reduce the overall market size".
Centuria Office REIT says these rivers are leading to a rebalancing of office markets and future vacancy rates in many markets where its assets are situated, though there are near-term headwinds.
The company continues to sign new and renewed leases, helping its occupancy be above 91% as of 30 September 2025 with a WALE of around four years.
It had a NAV of $1.67 at 30 June 2025 – at the time of writing, it was trading at a discount of around 30% to its stated underlying value.
The ASX dividend share expects to pay a distribution of 10.1 cents per unit in FY26. At the time of writing, that translates into a forward distribution yield of 8.5%.
