Some Tips on How to Negotiate Cell Tower Lease
If you are thinking of buying out a cell tower lease, being a landlord of wireless leased property has some determination to do when it comes to your need of having cash today and your money in the future. Cellular leases should be appraised and evaluated when it comes to its fair market value. However, an average real estate appraiser is not familiar with cell phone tower lease procurement nor an expert in cell tower lease. Note that there are several influencing factors that differ in cellular lease valuations and lease purchase.
These factors that would affect the cellular lease valuations and lease purchase could be about the values of the wireless carrier lease, if rental can be allowed to more than one carrier by the cell site, if it is in the favor of the lease buyer the cell tower leasing agreement, the location of the cell tower site, has the cell tower seller prove to be credit worthy, would the cell tower lease terms and the buyer requirements match, and how aggressive is the portfolio of the tower buyer.
Sadly, there are only a few cell tower lease buyout offers for the wireless landlords. This is because the advancing cellular technology and wireless carriers merging that can cause tower leases to lose their values leading cell tower lease purchasing financial firms to take advantage of the situation and the wireless landlords.
A cell tower landlord will have a better scenario when it comes to cellular lease purchase offer if it comes from a professional lease portfolio manager who is representing a reliable investment firm. Because these wireless capital investors are seeking to acquire certain cell tower leases so that their portfolios will expand, will offer buyout deals that will be better deals than others who would take advantage of a landlord with no knowledge of the industry situation. Take note also that there are buyout offers from larger wireless lease investors with great cellular lease buyouts but still have to be thought of well still.
What the future holds of cell tower leasing is the most question asked by these cell site landlords, and they are weighing the options of selling their leases for a lump sum, or if they will have it rented by cell phone carriers for a good monthly check.
If a country has a good wireless infrastructure and networks, then this is a good indicator of the future of this wireless leasing industry. In order to have a successful negotiation therefore in cell tower lease buyout, one has to understand that a wireless lease is a commodity with a price tag on it, and that it will still be around even with the coming in of some innovations and some mergers happening.