If someone came to your house today & said I’ll pay you 1/10th of the value of it, but you have to act now - would you feel like you have to do it? Only if you had no other options.Įvery day around the United States, property owners are contacted by companies leasing their land, or companies looking to buy their lease. We all make poor decisions when we feel like we have to do something.
![think cell license cost think cell license cost](https://venturebeat.com/wp-content/uploads/2019/11/aero.jpg)
Think about it like this: What is one of the most powerful ways to sell something to someone? You tell them if they don’t do it, they are going to lose something they already have. Remember, you don’t get the cell tower lease you deserve, you get the one you are able to negotiate. What could you do with an additional $852,400? That is what you are at risk of giving away by not having the accurate information and representation you need to level the playing field with any cell tower company or wireless carrier that approaches you about a cell tower lease. Your rent should be based not solely on how much space is being used, but how valuable that use is to the cell tower company. Again, a cell tower lease is a utility agreement, not a real estate one. Why? Because the cell tower company got you to focus on the rent and not the financial structure of the cell tower lease. No matter how much value the cell tower company makes from the use of your land, you will not see another dime. If you get a cell tower lease that pays $1,000 per month with a 3% escalator every year, then, effectively, you are getting paid the same amount every year (taking into account inflation). The cell tower companies not only anticipate this, but they rely upon it to increase the revenue margins they derive from a cell tower on your property. It is like buying a ruler that is not straight and then trying to build a house with it. The problem is that that most online information is incorrect and not applicable to your individual situation.
Think cell license cost how to#
The following are five tips on how to maximize the value of your cell tower rents over the life of your cell tower lease: What is it then? It is based upon understanding not only what is being offered by the cell tower company, but also what you and the use of your land offers the cell tower company in value today and going forward.īased on some analysis and calculations, an average cell tower landlord throws away over $852,400 during the lifetime of a typical cell tower lease, and this amount continues to grow. Why the big disparity? It is not based upon the real estate value of your land, your property being located in an urban area versus a rural one, or even the height of the tower or how much space you lease to the tower company. The cell tower lease can pay a property owner anywhere from $100 per month to over $5,000 per month. Unfortunately, property owners continue to make the same mistakes when it comes to the negotiation and structuring of cell tower leases, and it is becoming more and more costly. It’s like my dad used to say, “You can give someone a boat but it doesn’t mean they know how to navigate the ocean.”Ĭell Tower Rents – 5 Insider Tips To Maximize
![think cell license cost think cell license cost](https://venturebeat.com/wp-content/uploads/2019/05/amd-ryzen-third-generation.jpg)
The key is knowing how to navigate the counters & negotiations. The tower companies also see that information on the internet & they have 10 counters to everything you say. With the internet, the information is out there in pieces but people don’t know what to do with it. As a property owner, you have a choice: be under-compensated for your land or get the cell tower lease you deserve.Ī wave has been happening in the industry for years, which is that tower companies rely on lack of information & representation. In 2018, the largest cell tower companies generated an average of over $3 billion each in yearly revenues from subletting properties like yours. Rent is not a financial structure…it is only the result of it.
![think cell license cost think cell license cost](https://i1.wp.com/solarsymphony.com/wp-content/uploads/2016/05/Roscopf-editado-.jpg)
While it is important to understand how much rent you are going to get paid on day one, it is more important to know how to structure an agreement to make sure you are paid fairly on day two, three and so forth. The value is on your end, and no matter what they say, you’re in a position of power here.
![think cell license cost think cell license cost](https://venturebeat.com/wp-content/uploads/2017/12/uspresidentssiri.jpg)
You have something they need – your property. You don’t want to major in the minors, and we don’t want you to get taken advantage of, or settle for a bad deal.