Company: NXDT
Filing Date: 2025-01-30
Form Type: 424B5
Source: 0001437749-25-002263
Chunk: 14

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-30
Form: 424B5
Chunk 14
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, the majority of all voting shares of the Company present in person or represented by proxy at a shareholder meeting. 
 Among other things, we may, without any vote of the holders of Series B Preferred Shares, issue additional Series B Preferred Shares and we may authorize and issue additional shares of any class or series of beneficial interests ranking junior to the Series B Preferred Shares as to distribution rights and rights upon our liquidation, dissolution, termination, cancellation or winding up (“Junior Shares”) or on parity with our Series A Preferred Shares and any class or series of beneficial interests expressly designated as ranking on parity with the Series B Preferred Shares as to distribution rights and rights upon liquidation, dissolution, termination, cancellation or winding up (“Parity Shares”). See “Description of Series B Preferred Shares—Voting Rights” in this prospectus supplement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |

<div align='center'>S-9</div>

| Use of Proceeds                        
 Restrictions on Ownership and Transfer 
 Risk Factors                           |     | We intend to contribute the net proceeds from the issuance of sales of our Series B Preferred Shares in this offering to our OP in exchange for 9.00% Series B Cumulative Redeemable Preferred Units (liquidation preference $25.00 per unit) in the OP (the “Series B Preferred Units”). The Series B Preferred Units have economic terms that are substantially the same as the terms of the Series B Preferred Shares. The Series B Preferred Units rank, as to distributions and upon liquidation, senior to the common limited partnership units in the OP (“OP Units”) and pari passu with the 5.50% Series A Cumulative Preferred Units (liquidation preference $25.00 per unit) in the OP (the “Series A Preferred Units”), which have economic terms that are substantially the same as the terms of our Series A Preferred Shares. Our OP intends to use the net proceeds contributed by us to fund investment opportunities within the core sectors where our Adviser and its affiliates have operational expertise and for general corporate purposes.                                                                                                                                                     
 Pending these applications, the OP may invest the net proceeds contributed by us in interest-bearing accounts and short-term, interest-bearing securities or in any other manner that is consistent with our intention to qualify for taxation as a REIT and maintain our exclusion from registration under the Investment Company Act. See “Use of Proceeds” in this prospectus supplement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
 Our Declaration contains restrictions on the ownership and transfer of all classes or series of our beneficial interests, including the Series B