Company: NXDT
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001628280-25-052132
Chunk: 188

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-11-13
Form: 10-Q
Item: Item 1
Chunk 188
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 DateInterest rate capNote payable$39,3002.00%One-month SOFR2.00%February 5, 2026

10. Investments in DSTs

The Company invested in the Class 1 Beneficial Interests (“Class 1”) in two Delaware Statutory Trusts (DSTs). The Class 1 are accounted for as investments in equity securities without readily determinable fair values under the measurement alternative, which measures the investment at cost minus impairment, if any, plus or minus changes in fair value when observable prices are identified. As the Class 1 are still being actively issued, the investments are held at cost with no upward or downward fair value adjustment nor impairment losses to date. Therefore, the fair value of the Investment in DSTs utilizing Level 3 inputs approximate their carrying amount. The Company recognized $0.5 million and $1.4 million in dividend income for the three and nine months ended September 30, 2025, respectively, and $0.2 million and $0.3 million, respectively, in dividend income for the three and nine months ended September 30, 2024, respectively.As of September 30, 2025, the Company held the following investments (dollars in thousands):Balances, as of September 30, 2025Number of SharesCarrying AmountNexPoint Life Sciences II DST1,044,040$9,600 NexPoint Semiconductor DST2,625,61823,959 Total$33,559 As of December 31, 2024, the Company held the following investments (dollars in thousands):Balances, as of December 31, 2024Number of SharesCarrying AmountNexPoint Life Sciences II DST1,044,040$9,600 NexPoint Semiconductor DST2,296,85120,959 Total$30,559 

11. Shareholders’ Equity

Common SharesDuring the nine months ended September 30, 2025 and 2024, the Company issued 6,340,840 and 3,284,928 common shares, respectively.During the nine months ended September 30, 2025, the Company paid three distributions on its common shares in the amount of $0.15 per share each, which were paid on March 31, 2025 to shareholders of record on February 28, 2025, on June 30, 2025 to shareholders of record on May 9