Company: NXDT
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001628280-25-052132
Chunk: 184

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-11-13
Form: 10-Q
Item: Item 1
Chunk 184
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Table of Contents

The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the significant unobservable inputs used in the fair valuation of assets categorized within Level 3 of the fair value hierarchy as of September 30, 2025.CategoryValuation TechniqueSignificant Unobservable InputsInput Value(s) (Arithmetic Mean)Fair ValueCommon StockMarket ApproachUnadjusted Price/MHz-PoP$0.10—$1.25$(0.64)$131,299 Discounted Cash FlowDiscount Rate7.00%—14.00%(9.50)%Market Rent (per sqft)$13.00—$42.50$(27.75)NAV ApproachDiscount Rate10.00%NAV per Share$5.85Multiple of EBITDA3.00x—4.25x(3.63)xRecent TransactionImplied Enterprise Value from Transaction Price ($mm)$1,258.50Convertible NotesDiscounted Cash FlowDiscount Rate6.08%—8.08%(7.08)%11,963 LLC InterestDiscounted Cash FlowDiscount Rate7.00%—26.00%(12.5)%57,569 Market Rent (per sqft)$13.00—$42.50$(27.75)Capitalization Rate5.25%LP InterestMarket ApproachCapitalization Rate5.25%—5.50%(5.375)%158,184 Direct Capitalization ApproachDiscount Rate(8.04)%Terminal Capitalization Rate6.03%NAV ApproachDiscount Rate5.00%—10.00%(7.50)%NAV per Share4.50%—5.00%(4.75 %)Preferred SharesLiquidation AnalysisPar$1,00074,173 Senior LoanDiscounted Cash FlowDiscount Rate13.25%—15.00%(14.13)%46,416 Total$479,604  

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Table of Contents

The following is a summary of the significant unobservable inputs used in the fair valuation of assets categorized within Level 3 of the fair value hierarchy as of December 31, 2024.CategoryValuation TechniqueSignificant Unobservable InputsInput Value(s) (Arithmetic Mean)Fair ValueCommon StockMarket ApproachUnadjusted Price/MHz-PoP$0.10—$0.90$(0.48)$157,828 Discounted Cash FlowDiscount Rate7.00%—14.