NexPoint Oasis DST Overview
NexPoint Oasis DST is a Regulation D private placement offering accredited investors 100% of the Class 1 beneficial interests in a Delaware Statutory Trust that owns The Oasis at Shingle Creek, a 356-unit, garden-style multifamily apartment community at 4350 Osceola Trail Road in Kissimmee, Florida, within the Orlando-Kissimmee-Sanford MSA. Developed in 2018, the property spans 27.35 acres with 15 residential buildings totaling approximately 347,081 rentable square feet, and was 94.1% leased as of July 22, 2025. Amenities include a resident lounge with game room, fitness center, theater, pool with private cabanas, an indoor dog washing and grooming station, a pet park with agility equipment, a playground, a sand volleyball court, and a lakeside pier. The Trust acquired the property on September 25, 2025 from an unaffiliated seller and master leased it to an affiliated Master Tenant under an absolute-net Master Lease. The offering seeks up to $46,331,389 of equity, supported by a $52,350,000 fixed-rate, interest-only first mortgage. The Trust is sponsored by NexPoint, a Dallas-based alternative investment platform, and managed by an affiliated Manager that also serves as Signatory Trustee. The structure is designed for Section 1031 exchange investors seeking passive, professionally managed multifamily exposure with the potential for monthly distributions and a defined five-to-ten-year business plan. It suits accredited investors who can accept illiquidity and the absence of day-to-day control in exchange for institutional management and tax-deferral benefits.
Highlights
The property sits in Kissimmee within the Orlando-Kissimmee-Sanford MSA, one of Florida's fastest-growing metropolitan markets. The PPM emphasizes the area's rapid population growth, robust employment gains, and thriving economic conditions, along with easy access to major regional economic drivers that the Sponsor believes can support rental premiums and sustained renter demand. Florida's in-migration and Central Florida's diversified tourism, hospitality, healthcare, and service employment base underpin the business plan's assumptions around occupancy and rent growth, and provide a broad prospective tenant pool for a 356-unit garden-style apartment community positioned to benefit from ongoing demand for rental housing in the region.
Developed in 2018, The Oasis at Shingle Creek is a relatively new, garden-style multifamily community of 356 units across 15 residential buildings on 27.35 acres, totaling roughly 347,081 rentable square feet. Its amenity package is extensive for its class, featuring a resident lounge with game room, fitness center, theater, resort-style pool with private cabanas, an indoor dog washing and grooming station, a pet park with agility equipment, a playground, a sand volleyball court, and a lakeside pier. As of July 22, 2025 the property was 94.1% leased, reflecting healthy in-place demand. The Master Tenant, an affiliate of the Sponsor, operates the property and holds the existing end-user apartment leases through subleases, providing a professionally managed operating structure and a business plan that contemplates selective, non-structural capital improvements to lift rents and asset quality over the hold.
The Trust financed the property with a $52,350,000 first mortgage originated under the Freddie Mac program. The loan carries a 10-year term, full-term interest-only payments, and a fixed interest rate of 4.85% per annum, producing a fully-loaded loan-to-capitalization ratio of approximately 53.1%. The fixed rate and interest-only structure provide predictable debt service across the hold and eliminate near-term refinancing pressure, while the moderate leverage leaves a meaningful equity cushion. The loan is non-recourse to the Trust except for standard non-recourse carve-outs, and purchasers are not required to sign personal guaranties or an environmental indemnity. Loan proceeds also funded lender-controlled reserves for replacements and impositions (including a $937,704 Imposition Reserve), and the Trust controls a $1,500,000 Supplemental Trust Reserve for property costs, adding operating flexibility.
The offering is sponsored by NexPoint, a Dallas, Texas-based alternative investment platform that provides access to alternatives through publicly traded REITs, real estate private placements, Section 1031 exchanges, closed-end funds, interval funds, and a BDC. According to the PPM, NexPoint and its affiliates had approximately $16.5 billion in fee-earning assets under management as of June 30, 2025, and have completed over $21.5 billion in gross real estate acquisitions since the beginning of 2012. The Trust is managed by NexPoint Oasis Parent Manager, LLC, an affiliate of the Sponsor that also serves as the Signatory Trustee and holds the sole authority to determine when to sell the property. Day-to-day operations run through an affiliated Master Tenant and property manager, aligning the asset with NexPoint's institutional multifamily management platform.
The Trust is structured as a Delaware Statutory Trust intended to qualify as replacement property for investors completing a Section 1031 like-kind exchange, consistent with the framework of IRS Revenue Ruling 2004-86, allowing deferral of federal and state capital gains taxation. A portion of projected distributions may be sheltered by depreciation and amortization. The offering also contemplates exit optionality: under the Exchange Right, NexPoint Diversified Real Estate Trust Operating Partnership, L.P. may require beneficial owners to exchange their interests for operating partnership units (a Section 721-style UPREIT transaction) or elect a cash purchase. Separately, after the second anniversary of the acquisition, the Sponsor may - but is not obligated to - extend a Periodic Purchase Offer to buy interests. The Trust has not obtained an IRS private letter ruling and relies on a tax opinion of counsel.
Analysis of NexPoint Oasis DST
Insights
NexPoint Oasis DST is best read not as the stabilized bond-proxy its absolute-net Master Lease implies, but as a leveraged bet on Central Florida rent growth: the roughly 4.36% Year-1 distribution is thin current income, and most of the return lives in the back half of the ten-year projection and the exit cap rate rather than in today's cash flow. On relative value it screens as market-average income with an above-market growth tilt - projected average and peak yields near 4.91% and 5.95% both Meet the multifamily benchmark, while projected growth reads Above Average. That is internally consistent, since an investor is underwriting above-peer rent growth to justify an otherwise unremarkable starting yield, but it is also the crux: the Orlando-Kissimmee submarket is absorbing substantial new supply, and above-average growth is a demanding assumption precisely where concessions surface first. The roughly 9.35% load is heavy - investors pay it for NexPoint's management, funded reserves, and the Section 721 exit right - so only about ninety cents of each dollar reaches the property and the asset must appreciate just to return principal. Year-1 NOI coverage is not disclosed, and distributions can lean on reserves and a Sponsor-funded Demand Note rather than pure property cash flow, making the durability of the early payout a diligence item, not a given. The fixed 4.85%, full-term interest-only loan at about 53% loan-to-capitalization insulates near-term cash flow from rates but builds no amortization equity, so the exit hinges on cap-rate stability and NOI growth - the variable we would watch, alongside occupancy holding near the mid-2025 level of 94.1% leased. Two under-advertised points deserve weight: NexPoint's headline AUM is large, but its realized full-cycle record is shallow - on the order of three completed deals (roughly 16.8% average annual return, a 1.65x equity multiple over about 4.6-year holds) - and the property was contributed to the Trust at $87.25M against an $89.4M purchase contract. The Section 721 right is a genuine UPREIT path to REIT-level diversification and liquidity, but exercising it swaps like-kind real estate for securities and can trigger tax on a later sale of units. Net, it fits an accredited exchanger who must place 1031 proceeds and prizes a newer, institutionally managed apartment, fixed-rate debt, and exit optionality over current yield, control, and diversification, and who accepts single-market and hurricane concentration; it is a poor fit for anyone who needs dependable income now, wants deleveraging and a defined liquidity date, or is unwilling to underwrite above-peer rent growth in a supply-heavy submarket.
Advantages
NexPoint Oasis DST offers accredited 1031 exchange investors a fully passive, professionally managed position in a newer (2018-built) garden-style apartment community in a growing Central Florida market. Advantages grounded in the PPM include: a relatively new, amenity-rich, 356-unit property that was 94.1% leased as of July 2025; placement in the fast-growing Orlando-Kissimmee-Sanford MSA with strong population and employment trends; and attractive financing in the form of a $52,350,000 fixed-rate (4.85%), full-term interest-only, non-recourse loan at roughly 53.1% loan-to-capitalization, which delivers predictable debt service and avoids refinancing risk during the hold. Purchasers sign no personal guaranties. Projected Master Lease rent payments to the Trust begin at approximately 4.36% in year one and are projected to range from 4.42% to 5.95% over years two through ten, with a portion potentially tax-deferred by depreciation and amortization. The Trust is backed by an experienced institutional sponsor (NexPoint, roughly $16.5 billion fee-earning AUM and more than $21.5 billion in acquisitions since 2012), and funded reserves - including a $1,500,000 Supplemental Trust Reserve - provide operating cushion. The DST structure enables 1031 tax deferral, and built-in exit optionality via the Section 721 Exchange Right into NexPoint Diversified REIT operating units, plus a potential post-year-two Periodic Purchase Offer, gives investors more than one path to eventual liquidity.
Concerns
The PPM is explicit that the investment is highly speculative and carries substantial risk. It is a best-efforts offering with no minimum raise or escrow protection. Interests are illiquid, with no public market and significant transfer restrictions, and should be viewed as a long-term, potentially indefinite hold. Beneficial owners have no voting rights over the management, operation, or sale of the property and must rely entirely on the affiliated Manager, which alone decides when to sell. The offering is a single-asset, single-market position - one Florida apartment community - so it lacks diversification and is fully exposed to the Orlando-Kissimmee submarket. The property sits in a designated 'Hurricane Susceptible Region,' increasing casualty risk. Cash flow depends on the affiliated Master Tenant, which in turn depends on end-user tenants; the Master Tenant may defer a portion of rent, and the Sponsor funds a Demand Note to capitalize the Master Tenant. The offering carries a meaningful load - total sales commissions and expenses of roughly 9.35% of the purchase price - which reduces the equity put to work. Leverage adds risk, and although the loan is fixed and interest-only, it must eventually be repaid or refinanced. Numerous conflicts of interest exist among the Sponsor, Manager, Master Tenant, and their affiliates. Material tax risks include potential failure of 1031 treatment and taxable boot from using exchange funds for acquisition costs; there is no IRS private letter ruling. Distributions are not guaranteed, and market, competition, and interest-rate factors could impair returns.
NexPoint Oasis DST — Complete Offering Data
Offering & Structure
Investment NameNexPoint Oasis DST
SponsorNexPoint
StructureDelaware Statutory Trust (DST)
StatusLimited Availability
Last Updated2026-07-31
Size & Availability
Total Offering$98,681,389
Equity$46,331,389
Debt$52,350,000
Available Equity$9,000,000 (19.4% of equity)
Minimum Investment$100,000
Total Load9.35%
Initial Reserves1.52%
Property
Property TypeMultifamily
StrategyCore-Plus
LocationFL
Market TierTier 1
Income & Projections
Average Yield4.91%
Projected Yields (Y1–Y10)Y1 4.36% · Y2 4.42% · Y3 4.45% · Y4 4.57% · Y5 4.77% · Y6 4.79% · Y7 5.01% · Y8 5.14% · Y9 5.69% · Y10 5.95%
Tax-Adjusted Yield11.20%
Cap Rate Equivalent8.49%
Financing
In-Place LTV53.05% LTV
LenderBerkeley Point Capital LLC d/b/a Newmark
Loan TypeFixed
Interest Rate4.85% (Fixed)
Loan Term10 years
I/O Period10 years
AmortizationN/A
Y1 DSCR1.81x
Exit
Estimated Hold Period10 years
721 Exchange ExitOptional
Benchmarks (vs sector median)
Avg. Income4.91% vs 4.85% market — Meets Average
Growth36.47% vs 24.76% market — Above Average
Peak5.95% vs 5.55% market — Meets Average
Every data point Baker 1031 tracks for this offering, in one place. Figures are drawn from the offering’s private placement memorandum and sponsor materials unless noted, are summaries for convenience only, and are qualified in their entirety by the PPM. Tap the ⓘ icon next to any label for what it means and how it is calculated.
