NexPoint Semiconductor Manufacturing DST Lawsuit Investigation
The White Law Group is investigating potential claims involving NexPoint Semiconductor Manufacturing DST, a Delaware statutory trust that raised nearly $137 million from 315 investors through more than 30 brokerage firms. Below is what the trust’s SEC filings show, which firms sold it, and what investors considering a lawsuit or FINRA arbitration claim should know.
What Is NexPoint Semiconductor Manufacturing DST?
NexPoint Semiconductor Manufacturing DST is a Delaware statutory trust formed in 2023 and based in Dallas, Texas. Its sponsor is NexPoint Real Estate Advisors IV, L.P., and NREA Life Sciences III, LLC serves as manager and signatory trustee. According to trade press reports, the trust owns a semiconductor manufacturing facility in Temecula, California, leased to Skorpios Technologies Inc. on a 15-year initial term.
NexPoint Semiconductor Manufacturing DST Offering Terms
The trust filed its original Form D in November 2023 and amended it 25 times through October 2025. The latest amendment reports these terms:
- Exemption: Rule 506(c) of Regulation D
- Securities offered: beneficial interests in the trust (equity)
- Total offering: $136,944,633, fully sold
- Number of investors: 315
- Minimum investment: $100,000, though the sponsor may accept less
- Date of first sale: November 20, 2023
The trust estimated up to $11,982,655 in selling commissions and dealer fees, or about 8.75% of the offering. It also estimated $3,671,668 in offering expenses and acquisition fees that may go to the sponsor and its affiliates. Together, those estimates come to more than 11% of the money raised.
How the Offering Grew Through Its Amendments
The amendments show a slow start followed by a long selling push. When the trust filed its first Form D in November 2023, it reported $466,321 from one investor and one selling firm. By May 2024 it had raised about $11.3 million from 45 investors through 13 firms. By December 2024 the total reached about $80.6 million from 180 investors, and the October 2025 amendment reported the offering fully sold.
Brokerage Firms That Reportedly Sold NexPoint Semiconductor Manufacturing DST
The trust’s Form D filings list these broker-dealers as receiving sales compensation:
- 1031 Securities Inc.
- American Trust Investment Services, Inc.
- APW Capital, Inc.
- Arkadios Capital
- Aurora Securities
- Ausdal Financial Partners, Inc.
- Cabin Securities
- Capulent LLC
- Centaurus Financial, Inc.
- Client One Securities LLC
- Emerson Equity LLC
- FMN Capital Corporation
- FNEX Capital, LLC
- Great Point Capital LLC
- Harbour Investments, Inc.
- Huntwicke Securities, LLC
- IBN Financial Services Inc.
- Independent Financial Group, LLC
- Innovation Partners LLC
- Investment Security Corporation
- McDermott Investment Services, LLC
- Metropolitan Capital Investment
- MHL Investments
- Moloney Securities Co., Inc.
- Patrick Capital Markets, LLC
- Realized Financial, Inc.
- Realta Equities, Inc.
- Saxony Securities, Inc.
- Stax Capital
- Stonecrest Capital Markets, Inc.
- TCFG Wealth Management, LLC
- Wealthforge Securities, LLC
- Willow Cove Investment Group, Inc.
Broker Due Diligence Obligations
Every firm on that list had a duty to investigate the trust before recommending it. That includes the sponsor, the tenant’s finances, the lease, the debt on the property and the fees. Brokers also had to make sure a $100,000 position in one single-tenant property fit each customer’s finances and goals.
Risks of Single-Tenant DST Investments
A single-tenant DST depends on one company paying rent. If the tenant runs into trouble, distributions can be cut and the property’s value can fall. DST interests cannot be sold on a public market, and investors have no say in managing the property. Many DST buyers are using a 1031 exchange, which can lock them into the investment for years.
Recovering NexPoint Semiconductor Manufacturing DST Losses
If a broker recommended this DST without explaining its risks, or it did not fit your situation, you may be able to recover your losses. Brokerage firms are responsible for the recommendations their brokers make and for vetting the products they sell. These claims are usually brought through FINRA arbitration.
Contact The White Law Group
The White Law Group is a national securities fraud and investment loss recovery law firm with offices in Chicago and Seattle. If you invested in NexPoint Semiconductor Manufacturing DST and have concerns, call (888) 637-5510 for a free consultation, or contact us online.
Frequently Asked Questions
How do I file a claim to recover money I invested in NexPoint Semiconductor Manufacturing DST?
You file a claim against the brokerage firm that recommended and sold you the DST. Most brokerage account agreements typically include a pre-dispute arbitration clause, so these claims usually go to FINRA arbitration rather than court. Arbitration can still result in a money recovery.
Why are single-tenant DSTs risky for 1031 exchange investors?
One tenant’s rent supports the whole investment, so trouble at that one company can hit distributions and value at the same time. Investors also can’t easily sell or control the property. Brokers should weigh those risks against the tax benefits before recommending a DST.
Can the brokerage firm that sold me this DST be held responsible for my losses?
Yes, a brokerage firm can be liable if its broker made an unsuitable recommendation or the firm failed to perform proper due diligence. Firms also have a duty to supervise how their brokers sell private placements. The commissions a firm earned on the sale do not reduce that responsibility.
