Copt Defense Properties Stock Price, News & Analysis

COPT Defense Properties (NYSE: CDP), often referred to as COPT Defense, is a self-managed real estate investment trust (REIT) that focuses on owning, operating and developing properties in locations that are proximate to, or sometimes contain, key U.S. Government (USG) defense installations and missions. The company describes this specialized concentration as its Defense/IT Portfolio. Its tenants include the U.S. Government and defense contractors that are primarily engaged in priority national security activities and generally require mission-critical and high security property enhancements.

COPT Defense is included in the S&P MidCap 400, placing it among mid-sized publicly traded U.S. companies by market capitalization. As a REIT, its business centers on leasing space and developing properties that support defense and intelligence-related missions. According to multiple company press releases, the Defense/IT Portfolio consists of 198 properties, including 24 properties owned through unconsolidated joint ventures encompassing 22.6 million square feet of space. As of September 30, 2025, this portfolio was reported as 97.0% leased, highlighting a high level of tenant demand for these specialized facilities.

Defense/IT Portfolio Focus

The company’s Defense/IT Portfolio is concentrated in locations that are either adjacent to or embedded within major U.S. defense installations and mission hubs. Tenants in this portfolio are described as being engaged in priority national security activities and as requiring high security and mission-critical property enhancements. This focus shapes both the types of properties COPT Defense develops and the leasing profile of its portfolio.

Company disclosures note that the Defense/IT Portfolio includes office buildings and other facilities that support defense, intelligence, and related information technology work. The portfolio’s high leased percentage, as reported in several press releases, reflects the company’s emphasis on long-term, security-focused tenant relationships in these mission-oriented locations.

Scale and Portfolio Characteristics

Across its total portfolio, COPT Defense reports millions of square feet of operating properties, with the Defense/IT Portfolio representing the core of its strategy. As of September 30, 2025, the Defense/IT Portfolio encompassed 22.6 million square feet and was 97.0% leased. Earlier company materials referenced a broader set of operating properties totaling approximately 22.4 million square feet, including office properties and single-tenant data center shells, indicating that the company manages a large, specialized real estate platform focused on secure and technology-oriented space.

In addition to stabilized properties, COPT Defense maintains a development pipeline. For example, in its third quarter 2025 results release, the company described a development pipeline of five properties totaling 812,000 square feet, with a significant portion pre-leased and a defined total estimated investment. These projects are aligned with the Defense/IT strategy and are intended to support existing and new mission requirements from defense and intelligence-related tenants.

Leasing and Tenant Profile

COPT Defense’s leasing activity is closely tied to its national security-focused tenant base. Company updates for 2025 describe vacancy leasing activity measured in hundreds of thousands of square feet, with a substantial majority occurring in the Defense/IT Portfolio. The company also reports high tenant retention rates and long weighted-average lease terms on both renewing and new leases, which is consistent with the specialized, security-oriented nature of its properties.

Tenants include the U.S. Government and defense contractors, as well as organizations such as a top 20 U.S. Government defense contractor and research entities operating in university-affiliated research settings. These tenants typically require secure, specialized facilities that align with defense, intelligence, and advanced research missions.

Development and Investment Activity

COPT Defense regularly undertakes build-to-suit development projects and targeted acquisitions that expand its Defense/IT footprint. In 2025, the company committed capital to several new investments totaling hundreds of thousands of square feet, all within its Defense/IT Portfolio. Examples disclosed in press releases include:

• A build-to-suit lease for a high-security specialized facility in San Antonio, Texas, which densifies the company’s existing campus in that market.
• A build-to-suit lease at 4400 River Road in the University of Maryland’s Discovery District in College Park, Maryland, for the Applied Research Laboratory for Intelligence and Security (ARLIS), a Department of War University-Affiliated Research Center.
• The acquisition of Stonegate I, a 142,000 square foot Class A office building in Chantilly, Virginia, fully occupied by a top 20 U.S. Government defense contractor, located within the highly leased Westfields submarket.

These activities illustrate how COPT Defense deploys capital into properties that directly support defense and intelligence missions, often in submarkets characterized by high leased rates and established tenant relationships.

Capital Structure and Financing

The company’s SEC filings and press releases describe an active capital markets and financing program. In 2025, COPT Defense’s operating partnership priced and then consummated an underwritten public offering of $400 million of 4.500% Senior Notes due 2030, fully and unconditionally guaranteed by the company. The stated intended uses included repayment at maturity of existing senior notes and paying down amounts under its unsecured revolving credit facility and term loan, with interim investment of proceeds in interest-bearing accounts.

In addition, COPT Defense entered into an amendment to its credit agreement governing its unsecured revolving credit facility and unsecured term loan. The amendment increased the aggregate lender commitment under the revolving credit facility, extended the maturity date, adjusted interest rate terms, and provided the ability to request additional capacity under the amended credit agreement, subject to lender approval and other conditions.

Corporate Structure and Regulatory Reporting

COPT Defense Properties is incorporated in Maryland and files reports with the U.S. Securities and Exchange Commission under Commission File Number 1-14023. The company uses an operating partnership structure, with COPT Defense Properties, L.P. serving as the operating partnership that issues certain debt securities. The company regularly furnishes earnings releases, supplemental operating and financial information, and details of material financing agreements through Form 8-K filings.

As a REIT, COPT Defense’s financial reporting emphasizes metrics such as funds from operations (FFO) per share, same property cash net operating income (NOI), occupancy and leased percentages, and development pipeline statistics. These metrics are discussed in detail in its earnings press releases and associated supplemental presentations referenced in its SEC filings.

Position in the Finance and Insurance Sector

Within the broader finance and insurance sector, COPT Defense is classified in the "Other Financial Vehicles" industry due to its REIT structure. Its specialization in properties supporting U.S. Government defense installations and missions distinguishes it from more broadly diversified office or retail REITs. The company’s disclosures emphasize that its tenants are primarily engaged in priority national security activities and that its properties often require high security and mission-critical enhancements, underscoring the niche it serves in the real estate capital markets.

Historical Notes

Company communications reference a long operating history, including a predecessor entity and a public listing that dates back to the late 1990s. Historical leadership played a role in shaping the current Defense/IT focus, including a strategic reallocation program that concentrated investments in defense and information technology-related properties and reduced exposure to commodity suburban office product. This strategic repositioning, as described in company commentary, contributed to changes in the portfolio composition and balance sheet over time.

How Investors Use Information on CDP Stock

Investors researching COPT Defense (CDP) typically review its REIT structure, Defense/IT Portfolio metrics, leasing performance, development pipeline, and capital structure. Publicly available information, including press releases and SEC filings, provides detail on occupancy and leased levels, new investments, financing activities, and guidance for key performance indicators such as FFO per share and same property cash NOI growth. Because the company’s properties are closely tied to U.S. defense and intelligence missions, investors also pay attention to disclosures about tenant demand, vacancy leasing, and the depth of relationships with government and defense contractor tenants.