A Deal Too Big to Ignore
Before the termination, Onyx told CoStar it remained prepared to close once Copper Property delivered outstanding tenant documentation. The buyer contended that key seller deliverables were still incomplete.
Copper Property counters that it fully complied with the agreement and is now reviewing “all legal rights” against Onyx and other parties involved in the deal.
Deposits, Deadlines and Distribution Plans
The financial fallout is already taking shape. Copper Property currently holds $2 million of Onyx’s $5 million deposit and is demanding the remaining $3 million from the escrow agent. Onyx disputes that claim.
The trust said it may distribute the $2 million it holds to stockholders on Jan. 9 as part of its regular monthly cash payment, even as the legal fight simmers.
Restarting the Sales Clock
With the deal dead, Copper Property must relaunch its sales process under tighter timelines. The trust is tasked with liquidating remaining properties to repay creditors tied to JCPenney’s 2020 bankruptcy, and the collapse could trigger default provisions that complicate recoveries.
Looking ahead, the trust plans to halt its current marketing efforts and explore alternatives in early 2026. Those options range from selling the entire portfolio or sub-portfolios to individual property sales, financing transactions, or a mix of strategies.
Copper Property previously received more than 700 inquiries when the assets were first marketed through Newmark and Hilco Real Estate, underscoring the scale of interest in the portfolio.
