Excuse me, Mr. Market, but bonds provide only income while REITs have contractual rental increases that grow. Remember, if interest rates go up, the value of a bond will fall. But that's because a bond is a fixed-income instrument. REITs don't. Generally speaking, when interest rates are going up, it's because the economy's strengthening, and that's precisely what is happening today. Lest we forget, this "flight to quality" in Triple Net REIT-dom has now created a "flight to opportunity." Shares prices have fallen for most of the REITs anywhere between 5 to 15% and that has created a wider "margin of safety" to purchase shares. Also, dividend yields are much better now and that provides solid risk-adjusted returns for an intelligent REIT portfolio. Courtesy of SNL Financial As Ben Graham wrote (in "The Intelligent Investor"), "there is a close logical connection between the concept of a safety margin and the principle of diversification. One is correlative with the other." Further, Graham wrote, "Diversification is an established tenet of conservative investment." As Graham was suggesting, an intelligent investor should maximize his holdings such that there is a "better chance for profit than for loss." The Triple Net REIT sector is growing faster than most other sectors and the choices have become much more diverse. My favorite pick today is American Realty Capital Properties ( ARCP), a New York-based REIT with around $2.9 billion in assets (and $2.6 billion in market capitalization). The fairly valued REIT (with a P/FFO of 15.5x) has announced several large acquisitions and the portfolio should triple in size over the next six months. ARCP shares are priced at $13.82 with a very attractive dividend yield of 6.58%. For more information on ARCP or other Triple Net REITs, take a look at my newsletter, The Intelligent REIT Investor. At the time of publication the author was long O.Follow @swan_investorThis article was written by an independent contributor, separate from TheStreet's regular news coverage.