X0306 4 2020-09-30 0 0001786248 NexPoint Real Estate Finance, Inc. NREF 0001228922 DONDERO JAMES D 300 CRESCENT COURT, SUITE 700 DALLAS TX 75201 1 1 0 0 President OP Units 2020-09-30 4 J 0 3668351.46 A Common Stock 3668351.46 3668351.46 I See Footnote OP Units 2020-09-30 4 J 0 1058292.9 A Common Stock 1058292.9 1058292.9 I See Footnote OP Units Common Stock 395034 395034 I See Footnote Represents common units of limited partnership interest (the "OP Units") in NexPoint Real Estate Finance Operating Partnership, L.P., the Issuer's operating partnership (the "OP"). The OP Units are redeemable, beginning on September 30, 2021, for cash equal to the then-current market value of one share of the Issuer's common stock or, at the election of the Issuer, for shares of the Issuer's common stock on a one-for-one basis. The OP Units are vested as of the date of issuance. The OP Units have no expiration date. The reporting person redeemed their common units of NREF OP IV, L.P. ("OP IV"), a subsidiary of the OP, on a one-for-one basis for OP Units after receiving the approval of the General Partner of OP IV and the Issuer's Board of Directors. These OP Units are held by NexPoint Advisors, L.P. ("NP") indirectly through advised accounts. Mr. Dondero is the sole member of NP's general partner and may be deemed to be an indirect beneficial owner of securities held by NP. Mr. Dondero disclaims beneficial ownership of such securities except to the extent of his pecuniary interest therein. These OP Units are held by Highland Capital Management Fund Advisors, L.P. ("HCMFA") indirectly through advised accounts. Mr. Dondero is the sole stockholder of Strand Advisors XVI, Inc., HCMFA's general partner, and may be deemed to be an indirect beneficial owner of securities held by HCMFA. Mr. Dondero disclaims beneficial ownership of such securities except to the extent of his pecuniary interest therein. The OP Units are vested as of May 29, 2020. The OP Units have no expiration date. These OP Units are held by a trust, of which Mr. Dondero is the beneficiary. Mr. Dondero disclaims beneficial ownership of such OP Units. /s/ Lauren Thedford, as attorney-in-fact for James Dondero 2020-10-02