Company: NREF
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001628280-25-052000
Chunk: 32

Company: NexPoint Real Estate Finance, Inc.
Filing Date: 2025-11-13
Form: 10-Q
Item: Item 8
Chunk 32
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1/25/2031CMBS I/O Strip9/1/20212,947 Multifamily1.92 %19.72 %6/25/2030CMBS I/O Strip9/11/20213,162 Multifamily2.95 %17.01 %9/25/2031Total$34,979 2.49 %19.50 %(1)Current yield is the annualized income earned divided by the cost basis of the investmentThe following table presents activity related to the Company’s CMBS I/O Strips, MSCR Notes and mortgage backed securities (in thousands):For the Three Months Ended September 30,For the Nine Months Ended September 30,2025202420252024Net interest earned$(38)$(455)$(57)$772 Change in unrealized gain (loss) on CMBS structured pass-through certificates607 1,541 2,439 1,962 Change in unrealized gain (loss) on MSCR Notes— — — (13)Change in unrealized gain (loss) on mortgage backed securities— 464 — 1,079 Total$569 $1,550 $2,382 $3,800 

8. Real Estate Investments, net

On December 31, 2021, the Company acquired a 204-unit multifamily property in Charlotte, North Carolina (Hudson Montford). On June 4, 2025, the Company entered into a Membership Interest Purchase Agreement (the “MIPA”) between NexPoint Montford Investment Co, LLC (a wholly owned subsidiary of the OP, the “Seller”) and NexBank Capital, Inc. ("NexBank Capital") to sell all the membership interests of NexPoint Montford, LLC (“Montford subsidiary”). On July 22, 2025 (the “closing date”), in accordance with the MIPA, the Seller sold the membership interests of the Montford subsidiary to NexBank Capital for $60.0 million. Substantially all of the fair value of the disposed membership interests is concentrated in the property that is wholly owned by the Montford subsidiary at the closing date. As such, the Company determined the Montford subsidiary is not a business, and the membership interests represent an in-substance nonfinancial asset consistent with ASC 610-20, Gains and Losses from the Derecognition of Nonfinancial Assets. The membership interests sold represented 100