NexPoint Residential Trust : June 2025 REITWeek Presentation

Published: 2025-06-02 07:13:13 ET NXRT

Published on 06/02/2025 at 07:13

J u n e 2 0 2 5

NYSE: NXRT

The Avant at Pembroke Pines, FL

NexPoint Residential Trust, Inc. ("NXRT") is a publicly traded REIT, with its shares listed on the New York Stock Exchange under the symbol "NXRT," and is primarily focused on acquiring, owning and operating well-located middle-income multifamily properties with "value-add" potential in large cities, primarily in the Southeastern and Southwestern United States. NXRT is externally advised by NexPoint Real Estate Advisors, L.P., which is an affiliate of NexPoint Advisors, L.P., an SEC-registered investment adviser.

We pursue investments in multifamily real property, typically with a value-add component, where we can invest capital to provide "life-style" amenities to "work-force" and middle-income housing. Our value-add strategies seek to provide both dramatically-improved communities for our residents and outsized returns for our shareholders. As of March 31, 2025, NXRT owned 12,984 units across the U.S. in Texas, Arizona, Georgia, Tennessee, Florida, Nevada, and North Carolina.

3 (1) AS OF CLOSE OF TRADING MAY 30, 2025.

(2) AS OF CLOSE OF TRADING MARCH 31, 2025.

PRICE PER SHARE(1)

INSIDER OWNERSHIP(2)

Q2 2025 DIVIDEND PER SHARE

YIELD(1)

As of May 30, 2025, NXRT owned 35 multifamily properties, consisting of 12,984 units, across 10 markets in 7 Southeastern and Southwestern U.S. states.

We believe NXRT is the only pure-play, publicly-traded REIT focused on value-add multifamily real property. The company is focused on acquiring, owning and operating well-located middle-income multifamily properties with "value-add" potential in large cities, primarily in the Southeastern and Southwestern United States. We target markets that we believe have the following characteristics:

Attractive job growth and household formation fundamentals

High costs of homeownership or class A multifamily rental; and

Elevated or increasing construction or replacement costs for multifamily real property

Our "value-add" program seeks to provide our residents with "life-style" amenities found in newly constructed multifamily property at a reasonable price as well as increase shareholder value for our investors.

During Q1 2025 Same Store revenue decreased 1.0% and NOI decreased 3.8%, respectively, over the prior year period.

35

PROPERTIES (1)

12,984

UNITS OWNED (1)

$1,499

AVERAGE MONTHLY RENT PER UNIT (2)

93.6%

PORTFOLIO OCCUPANCY (2)

4

AS OF MAY 30, 2025.

AS OF MAY 30, 2025. EXCLUDING 38 UNITS DOWN IN THE PORTFOLIO AND SAME STORE PORTFOLIO AS A RESULT OF FIRES.

Q1 2025 Performance Highlights Q1 KEY HIGHLIGHTS & TRANSACTION ACTIVITY:

FINANCIAL RESULTS FOR THE QUARTER ENDED MARCH 31, 2025:

NOI: $37.8M

Core FFO: $19.1M, or $0.75/diluted share, a $0.10 beat to consensus estimates

Same Store Results: 1Q 2025

% of Total Units

100.0%

vs. Q1 2024

Occupancy

94.4%

-0.3%

Effective Rents

$1,495

- 1.3%

Total revenues

$62,770

-1.0%

NOI

$37,734

-3.8%

RATES & OCCUPANCY:

4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 Apr'25 May'25

New Leases -7.83% -6.49% -5.33% -6.43% -6.54% -4.73% -0.59% -1.29%

Renewals -0.21% 0.92% 2.11% 2.19% 1.57% 0.73% 3.08% 1.71%

Blended -4.33% -2.58% -1.29% -1.76% -1.96% -1.59% 1.57% 0.50%

Occupancy 94.70% 94.61% 94.06% 94.86% 94.67% 94.44% 94.17% 93.58%

On February 25, 2025, NXRT approved a quarterly dividend of $0.51 per share.

Since inception, the dividend per share has increased 147.6%.

During the first quarter of 2025, we completed 210 full and partial upgrades and leased 201 units, achieving an average monthly rent premium of $62 and a 16.1% ROI.

Since inception, for the properties currently in our Portfolio, we have completed 8,558 full & partial, 4,795 kitchen and laundry appliances, and 11,389 technology packages, resulting in a $172, $50, and $43 average monthly rental increase per unit and a 20.7%, 64.5%, and 37.2% ROI(1), respectively.

During April 2025, NXRT repurchased 223,109 shares for a weighted average price of

$34.29 per share, which is a 33% discount to the midpoint of our Q1'25 NAV. We believe this is an attractive arbitrage opportunity given the persistent private/public market discount.

We will continue to buy back shares when the market allows.

The Company is progressing toward a recast of our corporate credit facility with a syndicate of banks including JP Morgan (as lead arranger and sole bookrunner), Raymond James, Citi, and RBC. The current facility matures in June 2025, and we are on track to close the new facility simultaneously with the existing maturity, enabling NXRT to maintain access to capital and liquidity for external growth and capital recycling initiatives.

Occupancy & Apartment Demand - NXRT Markets

100.0%

98.5%

97.0%

95.5%

94.0%

92.5%

Q1'20 Q2'20 Q3'20 Q4'20 Q1'21 Q2'21 Q3'21 Q4'21 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q2'24 Q3'24 Q4'24 Q1'25

91.0%

5 1) WE DEFINE RETURN ON INVESTMENT ("ROI") AS THE SUM OF THE ACTUAL RENT PREMIUM DIVIDED BY THE SUM OF THE TOTAL COST.

Annual Demand 26% above post-Covid peak

Occupancy Annual Demand

250,000

200,000

150,000

100,000

50,000

0

-50,000

Disclaimer

NexPoint Residential Trust Inc. published this content on June 02, 2025, and is solely responsible for the information contained herein. Distributed via Public Technologies (PUBT), unedited and unaltered, on June 02, 2025 at 11:12 UTC.