Understanding the Ins and Outs of Cell Tower Lease and Buyouts
It is just important that you will have to be really specific and aware about cell tower lease and buyouts in order for you to ensure you are getting the most from your investment at the end of the day.
It has been found that telecommunications companies have advanced greatly over the years and cell towers and even rooftop antennas are being made available to cater to wireless services that these carriers have. Thing is that these cell towers need to be placed on critical locations, most likely over a property, which has to be leased as per an agreement with the property owner to have the equipment placed on the premise. So both parties benefit in a way that telecommunications companies are able to benefit by building their network on properties they do not own via cell tower lease, and that the property owner will receive a lease as per the signed agreement.
In order for the carrier or the network provider to have their tower placed on the privately owned property, they will have to pay for a cell tower lease buyout or also named as the lease prepayment. The very specific contract that both parties agreed on will be recorded with the local land registry as well. This basically leads to ensure that both of the party will be able to have their full rights based on the state’s specifics with regards to cell tower lease rates. With the rights being protected accordingly, everyone will be able to ensure that they are protected, regardless if the property owner changes hands or that the network carrier decides to decommission the tower.
If you are going to check and look into such matter, you will see that there are just so many things that could affect the overall outcome of cell tower lease rates but nonetheless, the very location or the placement of the tower is one thing that basically affects the price. There really are still a whole lot more that one needs to specifically look into in order to have the rental price changed and this ranges from the rent the owner specified, the lease agreement, interest rates, the time value of money, and more.
Thing is that it is very important that these things are being agreed accordingly prior to ensure that both parties involved will benefit from each other. Depending on how well the negotiation goes from scratch, either the carrier or the property owner will benefit most but nonetheless, it is a win-win situation that everyone will be thankful for. Making sure that everything is being discussed accordingly is what makes either of the party to get and reap as much from their investment.