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Wasn't Daggerfall supremely better than Arena? I always hear bad things about Arena.
That's highly debatable. Daggerfall is much more expansive and has more things to do. A few gameplay aspects have been tweaked, too. However, Beth's design philosophy was: "Let's see how big we can make the game" without fleshing any out of it. Throughout the years, I thought Daggerfall was worse in some aspects. I'll get back to it evenutally, but right now, I just want to beat Arena first.
Yesterday was supposed to be a one-hour session, but it turned into several hours. I guess the game is a bit more addicting than I remember. I do enjoy the sense of dread and claustrophobia present in the first two games, especially Arena.