Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 1623

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 1623
---
 on conversion of the $38.0 million of notes. With respect to the $11.8 million of notes convertible on the basis of the market price of the NHT Units at the time of the conversion, any issuance of NHT Units in connection with a redemption of NHT OP Class B Units received by holders on a conversion of such notes is subject to the prior approval of the TSXV. The relative fair value of the convertible notes did not reflect the outstanding principal on the date of the NHT Acquisition. The difference between the fair value and the principal amount of debt is amortized into interest expense over the remaining term. As of September 30, 2024, the net carrying amount of

<div align='center'>17

I-1291</div>

the convertible notes due to affiliates of the NHT Adviser was $50.2 million. Management determined the fair value of the promissory notes using a discounted cash flow approach, and determined that the fair value of the due to affiliates notes approximates its carrying value.

The following table contains summary information concerning the debt of the NHT segment as of September 30, 2024 (dollars in thousands):

| Debt Payable                                                   
 Note A¹                                                        |     | Outstanding principal as of 
 September 30, 2024          |  50,188 |   |     | Interest Rate | 6.85%         |     | Maturity Date         
 3/8/2025              |     | Lender             
 ACORE              |
|:---------------------------------------------------------------|:----|:----------------------------|--------:|:--|:----|:--------------|:--------------|:----|:----------------------|:----|:-------------------|
| Note B¹                                                        |     |                             |  24,165 |   |     |               | 11.31%        |     | 3/8/2025              |     | ACORE              |
| PC & B Loan²                                                   |     |                             |  37,608 |   |     |               | 6.70%         |     | 2/5/2025              |     | AREEIF Lender, LLC |
| Convertible Notes Due to Affiliates                            |     |                             |  58,278 |   |     |               | 2.25% - 7.50% |     | 2/14/2027 - 9/30/2042 |     | Multiple