Two office towers in Arlington, Texas, are expected to be put up for sale in early 2026 as they continue to face challenges common among older suburban office properties in North Texas.
Copeland Tower and Stadium Place, located at 1250 and 1200 East Copeland Road, together total just over 210,000 square feet. A recent notice tied to their commercial mortgage-backed securities (CMBS) loan stated that the “note holder anticipates marketing the collateral for sale” during the first quarter of 2026. Chris Hamilton has been appointed as substitute trustee to oversee the properties on behalf of the loan servicer.
The two buildings—Copeland Tower with 12 stories and Stadium Place with five—were built in 1987 and renovated in 2017. They are situated a little more than a mile from Arlington’s Entertainment District and are visible from Interstate 30.
Ownership of both towers changed hands in 2022 when a CMBS trust arranged by UBS acquired them from Houston-based Aqua Investment Group after a foreclosure auction. Since then, efforts have focused on stabilizing occupancy through leasing and renewals while considering long-term options.
Leasing activity has remained slow. Recent reports indicate Copeland Tower’s occupancy has stayed at about 40 percent since early this year. Stadium Place’s occupancy declined from 77 percent in February to 68 percent recently. Major tenants include the Texas Department of Family & Protective Services and Meyer Distributing. Northstar Energy Services’ lease expired in November, while the state agency maintains its lease at Stadium Place until 2027.
The combined appraised value of both towers dropped significantly—from $29 million in 2018 to $9.4 million as of September this year—a decrease of about two-thirds. The properties still carry at least $18.6 million in outstanding mortgage debt.
Before the pandemic, leasing had improved, reaching about 92 percent occupancy by late 2018 and into 2019 following efforts by Bradford Commercial. However, those gains reversed as tenants reduced space needs during the pandemic years and ownership sought repeated loan relief. Several large leases ended in recent years, including Multiplan’s exit from nearly 60,000 square feet.
JLL data shows that the Arlington-Mansfield Class B office market encompasses roughly 3.8 million square feet and has seen negative absorption this year with vacancy rates above 13 percent.
