Two office towers in Arlington, Texas—Copeland Tower and Stadium Place—are moving closer to being put up for sale as distress among older suburban office buildings continues across North Texas.
The two adjacent properties, located at 1250 and 1200 East Copeland Road, have a combined area of just over 210,000 square feet. A notice tied to their commercial mortgage-backed securities (CMBS) loan, dated November 15, indicates that the buildings are expected to be marketed for sale in early 2026. This follows continued declines in their appraised value and ongoing challenges with leasing activity.
Copeland Tower is a 12-story building with 126,628 square feet of space, while Stadium Place has five stories and totals 84,653 square feet. Both were built in 1987 and renovated in 2017. They are situated just over a mile from Arlington’s Entertainment District and are visible from Interstate 30.
Ownership of the towers changed hands in 2022 when a CMBS trust arranged by Swiss bank UBS took title from Houston-based Aqua Investment Group after a foreclosure auction. Since then, efforts have focused on stabilizing occupancy through new leases and renewals while considering long-term strategies for the properties.
Previous notices had indicated plans to market the towers this year; however, the latest filing states that “the note holder anticipates marketing the collateral for sale” during the first quarter of 2026. Chris Hamilton was recently named substitute trustee to oversee management of the properties on behalf of the loan servicer.
Leasing remains challenging. According to recent CMBS investor reports, Copeland Tower’s occupancy has remained at around 40 percent since early this year. Stadium Place’s occupancy declined from 77 percent in February to about 68 percent more recently.
Major tenants include the Texas Department of Family & Protective Services and Meyer Distributing. Northstar Energy Services’ lease for approximately 10,900 square feet expired in November. The state agency occupies about 46,239 square feet at Stadium Place under a lease that runs through 2027.
The financial situation has worsened alongside falling valuations. The combined appraised value dropped to $9.4 million as of September—about two-thirds lower than its $29 million valuation in 2018—while outstanding mortgage debt stands at least at $18.6 million according to servicer reports.
Before the pandemic, occupancy had improved following efforts by Bradford Commercial; it reached about 92 percent in both 2018 and 2019 but fell back after COVID-19 led tenants to downsize or exit leases entirely. Several large leases ended during this period—including Multiplan’s lease covering more than half of Copeland Tower’s total area—which contributed further to instability.
According to JLL data, Arlington-Mansfield’s Class B office market encompasses roughly 3.8 million square feet and has seen negative absorption rates this year with vacancy rates exceeding 13 percent.
