Company: NXDT
Filing Date: 2025-01-30
Form Type: 424B5
Source: 0001437749-25-002263
Chunk: 35

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-30
Form: 424B5
Chunk 35
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 affiliates for any other expenses incurred on our behalf in connection with the offering. All organization and offering expenses, including selling commissions, the dealer manager fee, non-cash compensation, and all other forms of underwriting compensation, are not expected to exceed 11.25% of the aggregate gross offering proceeds, though the amount of such expenses may exceed the expected amount as long as such expenses would not cause the cumulative selling commissions, dealer manager fee, permissible forms of non-cash compensation, all other forms of underwriting compensation, and issuer organization and offering expenses to exceed 15.0% of the aggregate gross offering proceeds of this offering (“FINRA’s 15.0% cap”) pursuant to FINRA Rule 2310(b)(4)(B)(i).                                                                                                                                                                                                                                                                                                   |

We intend to contribute the net proceeds from the issuance of sales of our Series B Preferred Shares to our OP in exchange for Series B Preferred Units. 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.

Our 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.

<div align='center'>S-22

DESCRIPTION OF SERIES B PREFERRED SHARES</div>

The following description summarizes the material provisions of the Series B Preferred Shares we may offer. This description is not complete and is subject to, and is qualified in its entirety by reference to, our restated certificate of trust, the Declaration and the Series B Statement of Preferences, which was filed with the SEC on Form 8-K on January 30, 2025, and our bylaws and applicable provisions of Delaware law, including the Delaware Statutory Trust Act (the“DSTA”). For a more complete description of certain provisions of our Declaration and our bylaws, see“Description of Capital Shares”beginning on page 4 of the accompanying prospectus.

General

We are currently authorized to issue an unlimited number of preferred shares, par value $0.001 per share, in one or more classes or series, of which our Board previously classified 4,800,000 shares as Series A Preferred Shares. Our Board has additionally classified 16,000,000 preferred shares as Series B Preferred Shares, of which 16,000,000 have been authorized for issuance in connection