Key Highlights

● James Dondero acquired roughly 32,588 additional NexPoint Residential shares between July 15 and August 5, 2026.

● The purchases came automatically through the REIT's Dividend reinvestment Plan, known as the DRIP.

● Dondero's total beneficial ownership now stands at about 14.07% of outstanding common stock.

● This is the seventeenth amendment to his original Schedule 13D filing on the company.

James D. Dondero disclosed in a Schedule 13D/A filed September 25, 2026, the seventeenth amendment to his group's filing, that he acquired roughly 32,588 additional shares of NexPoint Residential Trust (NYSE:NXRT) between July 15 and August 5, 2026 through the REIT's dividend reinvestment plan, bringing his total beneficial ownership to about 14.07% of the company's outstanding common stock as of the filing's measurement date.

The Reinvestment Purchases

The filing breaks the acquisitions into three separate transactions: 32,183.595 shares bought July 15, 2026 for $895,669.45; 353.5811 shares bought July 27, 2026 for $9,313.33; and 54.8423 shares bought August 5, 2026 for $1,356.25. Together those figures total approximately 32,588 shares, all acquired automatically through NexPoint Residential's Dividend Reinvestment Plan, referred to in the filing as the "DRIP." The Fractional Share counts, extending to four decimal places, reflect how dividend reinvestment plans typically convert a fixed dollar amount of dividend income into shares at the prevailing purchase price, rather than buying only in whole-share increments.

Total Position and Ownership Percentage

As of August 31, 2026, the filing states Dondero beneficially owned 3,595,942.2194 shares of NexPoint Residential common stock, held both directly and indirectly through affiliated entities he controls. That figure represents approximately 14.07% of the REIT's outstanding shares, a position that has been built up over the seventeen amendments Dondero has filed to his original Schedule 13D on the company. A stake of that size, held by a single investment manager and his affiliated entities, is large enough that even small routine additions like these DRIP purchases must be tracked and disclosed under the Schedule 13D rules governing beneficial owners above the 5% threshold.

No Other Trading Activity Disclosed

The filing specifically notes that, apart from the routine DRIP purchases, "the Reporting Persons did not acquire or dispose of any Common Stock in the 60 days preceding August 31, 2026." That detail signals the amendment reflects ordinary reinvestment of dividend income rather than any new strategic buying campaign or a shift in Dondero's approach to the position.

Why Dividend Reinvestment Triggers a 13D Amendment

Because Dondero already holds well above the 5% threshold that requires Schedule 13D reporting, any material change to his share count, even one arising automatically through a dividend reinvestment plan rather than an active market purchase, must be reflected in an amendment. That is why routine, small-dollar purchases like the $1,356.25 Tranche in early August still generate a formal SEC filing when they occur within a position of this size and are grouped with larger holders subject to ongoing reporting obligations.

Company and Filer Background

NexPoint Residential Trust is a real estate investment trust; the 13D/A itself does not restate details of its property portfolio or recent operating results beyond identifying it as the subject issuer of the shares Dondero holds. Dondero is a long-time investment manager whose affiliated entities are described in the filing as parties to the reporting group alongside him personally. His firm has historically managed multiple funds and vehicles with ties to NexPoint-branded entities, which is consistent with the multiple affiliated holders grouped together in this ownership report.

The Recurring Amendment Pattern

Because this is the seventeenth amendment in an ongoing series, watch for future 13D/A filings each time Dondero's DRIP purchases or any other transactions move his position, a pattern that has recurred regularly as NexPoint Residential pays out its regular dividends. The filing sets no specific forward-looking deadline or event beyond the recurring dividend and reinvestment cycle already described, and it explicitly disclaims any recent trading beyond the DRIP purchases already detailed.