Company: NXDT
Filing Date: 2025-01-30
Form Type: 424B5
Source: 0001437749-25-002263
Chunk: 58

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-30
Form: 424B5
Chunk 58
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 tests described above, the redemption proceeds will be taxable as a distribution. If a redemption of the Series B Preferred Shares is treated as a distribution that is taxable as a dividend, you are urged to consult with your own tax advisors regarding the allocation of basis between the redeemed shares and any Series B Preferred Shares that you still hold (or that are held by a person related to you).

<div align='center'>S-34

PLAN OF DISTRIBUTION</div>

General

We are offering a maximum of 16,000,000 shares of our Series B Preferred Shares through NexPoint Securities, our dealer manager, on a “reasonable best efforts” basis, which means that the dealer manager is only required to use its good faith efforts and reasonable diligence to sell the Series B Preferred Shares and has no firm commitment or obligation to purchase any specific number or dollar amount of the Series B Preferred Shares. Each Series B Preferred Shares will be sold at a public offering price of $25.00 per share. The initial closing of the offering is expected to occur on or about February 7, 2025.

The termination date for this offering is the earlier of (i) August 1, 2027 (which is the third anniversary of the effective date of the registration statement of which this prospectus supplement and accompanying prospectus form a part), unless earlier terminated or extended by our Board, and (ii) the date on which all of the Series B Preferred Shares offered in this offering are sold. Should this offering continue beyond August 1, 2027, we will file a new registration statement and supplement or amend this prospectus supplement accordingly. We may terminate this offering at any time or may offer Series B Preferred Shares pursuant to a new registration statement, including a follow-on registration statement.

You may buy Series B Preferred Shares through your financial professional, a participating broker-dealer or other financial intermediary that has a selling agreement with our dealer manager. We will sell Series B Preferred Shares in this offering using two closing methods. The first service method is DTC Settlement and the second method is DRS Settlement. The Company may also utilize DVP Settlement, which is a type of DTC Settlement. Investors purchasing Series B Preferred Shares through DTC Settlement will coordinate with their registered representatives to pay the full purchase price for their shares by the settlement date, and such payments will not be held in escrow. Investors who are permitted to utilize the DRS Settlement method, the second method, will complete and sign subscription agreements, which will be delivered to the escrow agent