Shareholders' Equity (Tables)

12 Months Ended

Dec. 31, 2025

During the year ended December 31, 2025, the Company made the following distributions:


Payment Date (1)	Distribution Rate per Share		Ex-Date	Record Date
December 31, 2025	$	0.15	11/21/2025	11/21/2025
September 30, 2025	$	0.15	8/14/2025	8/14/2025
June 30, 2025	$	0.15	5/9/2025	5/9/2025
March 31, 2025	$	0.15	2/28/2025	2/28/2025

(1)

The distributions paid consisted of a combination of cash and shares, with the cash component of the distribution (other than cash paid in lieu of fractional shares) comprising 20% of the distribution, with the balance being paid in the Company's common shares.

During the year ended December 31, 2024, the Company made the following distributions:


Payment Date (1)	Distribution Rate per Share		Ex-Date	Record Date
December 31, 2024	$	0.15	11/15/2024	11/15/2024
September 30, 2024	$	0.15	8/15/2024	8/15/2024
June 28, 2024	$	0.15	5/14/2024	5/14/2024
March 28, 2024	$	0.15	2/15/2024	2/15/2024

(1)

During the year ended December 31, 2025, the Company made the below distributions on its Series A Preferred Shares:


Payment Date	Distribution Rate per Share		Ex-Date	Record Date
December 31, 2025	$	0.34375	12/23/2025	12/23/2025
September 30, 2025	$	0.34375	9/23/2025	9/23/2025
June 30, 2025	$	0.34375	6/23/2025	6/23/2025
March 31, 2025	$	0.34375	3/24/2025	3/24/2025

During the year ended December 31, 2024, the Company made the below distributions on its Series A Preferred Shares:


Payment Date	Distribution Rate per Share		Ex-Date	Record Date
December 31, 2024	$	0.34375	12/23/2024	12/23/2024
September 30, 2024	$	0.34375	9/23/2024	9/23/2024
July 1, 2024	$	0.34375	6/24/2024	6/24/2024
March 31, 2024	$	0.34375	3/25/2024	3/25/2024

During the year ended December 31, 2025, the Company declared the below distributions on its Series B Preferred Shares:


Payment Date	Distribution Rate per Share		Ex-Date	Record Date
April 6, 2026	$	0.18750	3/25/2026	3/25/2026
March 5, 2026	$	0.18750	2/25/2026	2/25/2026
February 5, 2026	$	0.18750	1/23/2026	1/23/2026
January 5, 2026	$	0.18750	12/24/2025	12/24/2025
December 5, 2025	$	0.18750	11/25/2025	11/25/2025
November 5, 2025	$	0.18750	10/24/2025	10/24/2025
October 6, 2025	$	0.18750	9/25/2025	9/25/2025
September 5, 2025	$	0.18750	8/25/2025	8/25/2025
August 5, 2025	$	0.18750	7/25/2025	7/25/2025
July 7, 2025	$	0.18750	6/25/2025	6/25/2025
June 5, 2025	$	0.18750	5/23/2025	5/23/2025
May 5, 2025	$	0.18750	4/25/2025	4/25/2025
April 7, 2025	$	0.18750	3/25/2025	3/25/2025
March 5, 2025	$	0.18750	2/25/2025	2/25/2025

Share-Based Payment Arrangement, Restricted Stock Unit, Activity

The following table includes the number of restricted share units granted to its trustees, officers, employees and certain key employees of the Adviser under the LTIP:


	Summary of Grants
	March		April		June		Total
2023		—		603,482		—		603,482
2024		1,033,787		—		—		1,033,787
2025		—		937,643		572,592		1,510,235
Total		1,033,787		1,541,125		572,592		3,147,504

As of December 31, 2025 and 2024, the Company had 2,463,802 and 1,438,049 unvested units under the LTIP, respectively.

The following table includes the number of restricted share units granted, vested, forfeited and outstanding as of and for the year ended December 31, 2025:


	2025
	Number of Units				Weighted Average Grant Date Fair Value
Outstanding January 1, 2025		1,438,049			$	7.35
Granted		1,510,235				3.73
Vested		(449,024	)	(1)		3.76
Forfeited		(35,458	)			5.90
Outstanding December 31, 2025		2,463,802			$	5.81

(1)

Certain key employees of the Adviser elected to net the taxes owed upon the vesting against the shares issued resulting in 358,173 shares being issued as shown on the Consolidated Statements of Equity.

The following table contains information regarding the vesting of restricted share units under the LTIP as of December 31, 2025:


	Shares Vesting
	February		March		April		June		Total
2026		—		234,527		397,608		164,797		796,932
2027		355,614		234,527		130,974		—		721,115
2028		355,614		234,527		—		—		590,141
2029		355,614		—		—		—		355,614
Total		1,066,842		703,581		528,582		164,797		2,463,802

NEXPOINT DIVERSIFIED REAL ESTATE TRUST 10-K