Company: NXDT
Filing Date: 2025-01-21
Form Type: 424B3
Source: 0001437749-25-001494
Chunk: 139

Company: NEXPOINT DIVERSIFIED REAL ESTATE TRUST
Filing Date: 2025-01-21
Form: 424B3
Chunk 139
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EXDT will own, any of the property described in (i) to (iv) or will own or dispose of any “taxable Canadian property”. Non-Resident Holders whose Securities may constitute taxable Canadian property should consult their own tax advisors.

A Non-Resident Holder generally will not be subject to tax under the Tax Act in respect of a capital gain, or entitled to deduct any capital loss, realized upon the Redemption of the Units.

A Non-Resident Holder generally will not be subject to tax under the Tax Act in respect of a capital gain, or entitled to deduct any capital loss, realized upon exchange of New NHT Shares for NXDT Common Shares pursuant to the Company Merger.

A Non-Resident Holder generally will not be subject to tax under the Tax Act in respect of a capital gain, or entitled to deduct any capital loss, realized upon the disposition of NXDT Common Shares.

Certain U.S. Federal Income Tax Considerations

UNITHOLDERS ARE URGED TO CONSULT THEIR TAX ADVISORS ABOUT THE APPLICATION OF THE U.S. FEDERAL TAX RULES TO THEIR PARTICULAR CIRCUMSTANCES AS WELL AS THE STATE AND LOCAL AND FOREIGN TAX CONSEQUENCES TO THEM OF THE REDEMPTION OF THEIR UNITS.

The following is a summary of the principal U.S. federal income tax considerations (i) generally applicable under the Code to the Unitholders in respect of the Transaction and (ii) relating to ownership of our shares.

<div align='center'>-86-</div>

The portion of this summary under the heading “—The Transaction” is limited to certain material U.S. federal income tax considerations relevant to Unitholders that hold equity interests in the REIT and, as a result of the Transaction (other than any Unitholder participating in a Redemption), will hold New NHT Shares and NXDT Common Shares, as “capital assets” within the meaning of Section 1221 of Code (generally, property held for investment). The portion of this summary under the heading “NXDT Common Share Ownership” is limited to certain material U.S. federal income tax considerations relating to ownership of NXDT Common Shares that are held as “capital assets” within the meaning of Section 1221 of the Code. This discussion does not address all aspects of U.S. federal income taxation that may be relevant to particular Unitholders in light of their individual circumstances or status, including:

| ● | Banks, broker dealers or financial institutions; |

| ● | NexPoint