Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 1568

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 1568
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 including any agreement relating to its indebtedness, prohibit such declaration, payment or setting apart for payment or provide that such declaration, payment or setting apart for payment would constitute a breach thereof or a default thereunder, or if such declaration or payment shall be restricted or prohibited by law. For purposes of this Annex B, “affiliate” shall mean any party that controls, is controlled by or is under common control with the Partnership.

<div align='center'>Annex B-2

I-1233</div>

(c) Notwithstanding the foregoing, distributions on the Series A Preferred Units shall accrue whether or not the terms and provisions set forth in Section 3(b) hereof at any time prohibit the current payment of distributions, whether or not the Partnership has earnings, whether or not there are funds legally available for the payment of such distributions and whether or not such distributions are authorized or declared. Furthermore, distributions will be declared and paid when due in all events to the fullest extent permitted by law and except as provided in Section 3(b) above. Accrued but unpaid distributions on the Series A Preferred Units will accumulate as of the Distribution Payment Date on which they first become payable.

(d) Unless full cumulative distributions on all outstanding Series A Preferred Units have been or contemporaneously are declared and paid or declared and a sum sufficient for the payment thereof is set apart for payment for all past distribution periods, no distributions (other than in the form of Junior Securities) shall be declared or paid or set aside for payment nor shall any other distribution be declared or made upon any Junior Securities, nor shall any Junior Securities be redeemed, purchased or otherwise acquired for any consideration (or any moneys be paid to or made available for a sinking fund for the redemption of any such Junior Securities) by the Partnership (except by conversion into or exchange for other Junior Securities and except for transfers made pursuant to the provisions of Article XI of this Agreement).

(e) Notwithstanding Section 3(d), if distributions on the Series A Preferred Unit have been paid for all past distributions periods, it shall not be a violation of Section 3(d) if the Partnership declares and pays distributions on Junior Securities during the current distribution period if the payment of such distributions on the Partnership’s Junior Securities could not be reasonably deemed to leave the Partnership with insufficient capital to pay in full the accrued distribution on the Series A Preferred Units required under Section 3(a) on the next Distribution Payment Date for the current distribution period.

(f) When distributions are not paid in full (or a sum sufficient for