Copper Property CTL Pass Through Trust — Cyborg Score 4/10

Weak
Real Estate Investment Trusts (REITs) / Distressed Asset Liquidation

Strategic Profile

The real estate portfolio includes 130 retail properties across 35 states and Puerto Rico, comprising 17.3 million square feet of leasable space. The Trust is externally managed by an affiliate of Hilco Real Estate LLC, with a focus on monetizing assets through sales to institutional investors.

Cyborg Score Rationale

A purchase agreement with Onyx Partners for the remaining property portfolio terminated in December 2025 when the buyer failed to close, leading to a lawsuit dispute. The Trust extended its termination date in April 2026, signaling continued challenges in executing its exit strategy.

Top Insights

  • Net cash from operations in May 2026 was $6.9M, driven primarily by retail master lease rent of $8.2M
  • Termination date extended by 60 days from April 30, 2026 to June 29, 2026 in April 2026, indicating ongoing liquidity needs
  • The Trust holds $2M of a buyer's $5M deposit with dispute over remaining funds from a failed sale
  • Major holders include H/2 Capital Partners (39.02%), Silver Point Capital (12.89%), and Sixth Street entities (9.81%)

Named Competitors

  • Realty Income — Net-lease REIT with diversified retail property portfolio
  • Spirit Realty Capital — Net-lease REIT focused on single-tenant properties
  • STORE Capital — Net-lease REIT specializing in retail and industrial properties

Recent Developments

  • (June 2026) Monthly results reported with $6.9M operating cash flow and $0.091522 per certificate distribution declared
  • (April 2026) Termination date extended to June 29, 2026 via certificateholder amendment
  • (December 2025) Onyx Partners sale agreement terminated; buyer litigation ensued over $5M deposit

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