Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 885

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 885
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 shall, if not sooner paid, become due and payable.

7.Conversion.

| (b) | The Maker may prohibit the Holder from converting all or any part of the outstanding principal and accrued but unpaid interest due hereunder, and all other amounts due and payable to the Holder hereunder or in connection herewith, into Common Units if: |

A. following such conversion, NexPoint Homes Trust, Inc. would fail to own 50.0% or more of the outstanding Common Units of the Maker;

B. such conversion would result in a negative impact to the real estate investment trust status of NexPoint Homes Trust, Inc.;

C. such conversion would create an event of default under any Loan Document;

D. such conversion would trigger change of control provisions under any agreement or contract the Maker is then a party to; or

E. the Maker reasonably believes such conversion would have a negative regulatory impact on the Maker and its subsidiaries.

As used herein, the term “” shall mean all documents now or in the future executed by Maker or its subsidiaries in connection with any loan provided by any lender which is secured by a mortgage or deed of trust on any property.

| (c) | In order to exercise its right to Conversion Interests under this Section 7, the Holder must provide written notice to the Maker of its election to convert to Conversion Interests at least 30 days prior to the requested conversion date. |

| (d) | The issuance of certificates, if any, for the Conversion Interests upon conversion of this Note shall be made without charge to the Holder hereof for any issuance tax in respect thereof or other cost incurred by the Maker in connection with such conversion and the related issuance of the Conversion Interests. Upon conversion of this Note, the Maker shall take all such actions as are necessary in order to insure that the Conversion Interests issuable with respect to such conversion shall be validly issued, fully paid and nonassessable. |

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| (e) | Subject to Section 7(b), the Maker shall not close its books against the transfer of the Conversion Interests issued or issuable upon conversion of this Note in any manner which interferes with the timely conversion of this Note. The Maker shall assist and cooperate with any Holder required to make any governmental filings or obtain any governmental approval prior to or in connection with the conversion of this Note (including, without limitation, making any filings required to be made by the Maker). |

8.General Pro