NexPoint Real Estate Finance, Inc. (NREF) completed a fully subscribed $400 million Series B cumulative redeemable preferred stock offering, raising $404.5 million in gross proceeds on December 10, 2025. On the same day the company announced the launch of a new $200 million Series C offering, priced at $25.00 per share, with the first close scheduled for December 19, 2025.
The Series B closing provides NREF with a robust capital cushion that supports its $350 million pipeline of multifamily, life‑science, and self‑storage investments. The Series B carries a 9.00 % coupon, while the Series C offers an 8.00 % coupon, creating a 400‑basis‑point spread between the cost of capital and expected deployment yields. Dividend coverage remains at 1.06×, a slight decline from 1.14× in Q3 2024, but still comfortably above the 1.00× threshold required to maintain the current dividend policy.
NREF’s asset‑light, bridge‑lending model—originating loans and providing preferred equity rather than owning properties—allows the company to deploy capital quickly and at attractive spreads. The new preferred equity capacity positions the firm to capture the anticipated refinancing wave as over‑leveraged 2021‑22 vintage loans mature, while preserving flexibility amid a tightening credit environment. The company’s focus on high‑yield, low‑leverage opportunities is reinforced by the additional capital raised.
Chief Investment Officer Matt McGraner said the strong demand for the Series B offering “confirms investor confidence in NREF’s disciplined capital management and its ability to generate attractive returns in resilient real‑estate sectors.” He added that the Series C launch “expands our equity base, enabling us to seize opportunities in the current market while maintaining a solid dividend coverage ratio.”
The Series B and Series C offerings underscore NREF’s strategy of disciplined capital allocation. With the new capital, the company can accelerate deployment of its $350 million pipeline, maintain a 1.06× dividend coverage, and position itself to benefit from the upcoming refinancing wave, all while operating within a low‑leverage, high‑yield framework that has proven resilient in recent market conditions.
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