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Cell Tower Companies Don't Watch

Cell tower companies are often thought of as a necessary evil to house the wireless antennas that allow us the use of our smartphones and wireless devices. They not only provide the essential infrastructure that connect us to the wireless world, but they also profit from the use of public resources and the inconvenience of the often-unsightly structures that they build. However, what many people don’t know is that cell tower companies are not always transparent about their operations, particularly when it comes to cell tower rent that is generated from the underlying cell tower lease for the real estate upon which that the cell tower is located.

Here are some of the things that cell tower companies may not want you to know about cell tower rent:

  1. The value of your land: Cell tower companies make their money by leasing land from property owners for the purpose of building cell towers. However, they often downplay the value of the land they are leasing in order to negotiate lower rent payments. Property owners may not realize the true value of their land, particularly if they are not familiar with the cell tower industry, and may agree to lower rents than they could receive if they negotiated from a position of knowledge.
  2. The amount of revenue they generate: Cell tower companies are extremely profitable. In fact, many of them are publicly traded companies that generate billions of dollars in revenue each year. However, they may not disclose the amount of revenue they generate from a specific tower or location. This lack of transparency can make it difficult for property owners to negotiate fair rent payments.
  3. The potential for multiple tenants: Cell tower companies often lease land for the purpose of building a single tower. However, they may not disclose that the tower has the potential to host multiple tenants, each of whom would pay rent. If a property owner is aware of this potential, they may be able to negotiate higher rent payments.
  4. The impact of technology changes: The technology behind cell towers is constantly evolving. Newer towers are often smaller and more efficient than older ones. This can impact the amount of rent a property owner should receive. However, cell tower companies may not disclose this information or may try to negotiate lower rents based on the size of the tower.
  5. The potential for liability: Cell towers can be hazardous structures, particularly if they are not maintained properly. If someone is injured on a cell tower, the property owner could be liable for damages. Cell tower companies may not disclose the potential liability associated with their structures, leaving property owners unaware of the risks they are taking on.

In conclusion, cell tower rent can be a complex issue, and cell tower companies may not always be forthcoming about the details. Property owners who are considering leasing their land for the purpose of building a cell tower should do their research and consult with experts who can help them negotiate a fair rent payment. It’s important to remember that cell tower companies are businesses that are focused on maximizing their profits, and property owners should be equally focused on maximizing their own returns.

Contact us to learn more about the cell tower industry and cell tower leases.

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