NexPoint Real Estate Finance, Inc. (the "Company") has disclosed a significant financial transaction in its recent Form 8-K filing dated April 3, 2026. The Company, through its operating partnership, NexPoint Real Estate Finance Operating Partnership, L.P. (the "OP"), has provided an additional loan of $6 million to NexPoint Storage Partners Operating Company, LLC ("NSP OC"). This loan is part of a larger promissory note arrangement that allows NSP OC to borrow up to $40 million, with $22.7 million already outstanding as of the filing date. The note carries a high interest rate of 14% per annum, payable in kind, and is secured by a first priority lien on certain income streams and related deposit accounts of the co-borrowers.

This transaction follows a previous loan of $16.7 million made on January 16, 2026, and a participation agreement with The Ohio State Life Insurance Company ("OSL"), which purchased $7.5 million of the NSP Note. The recent funding is expected to enhance the liquidity position of NSP OC, allowing it to pursue further operational initiatives. Additionally, the OP has entered into a side letter agreement with several investors, including Highland Opportunities & Income Fund and NexPoint Diversified Real Estate Trust OP, L.P., allowing them to participate in future advances under the NSP Note.

As of the filing date, NexPoint Real Estate Finance, Inc. owns approximately 25.4% of the total outstanding shares of common stock of NSP, and has guaranteed certain obligations of NSP, capped at $97.6 million. The OP also holds a significant stake in NSP's outstanding preferred stock. This strategic financing move is anticipated to bolster the Company's operational execution and liquidity, although the high interest rate may raise concerns regarding future profitability and cash flow management.

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