How to Get Good Deals on Your Cell Phone Tower Lease?
Fair market value of cell phone tower lease must be evaluated and appraised. The problem that most landlords deal with here is that, average appraiser isn’t much of an expert with regards to doing tower lease procurement. There are many different factors that does affect the cell tower lease purchase and valuation and these are the location of the tower, seller’s credit worthiness, is the cell tower matched the requirements of buyer, how aggressive is the buyer’s tower portfolio, does the cell site enables extra carriers to pay rent and also, the wireless carries lease values.
What’s unfortunate is that, there are so many cell phone tower lease buyout presented to landlords which are low in valuation. There are some lease buying financial institutions that are deliberately taking advantage of sending letters to the wireless landlords which results to confusion and doubts in them. Because of the innovating and constantly advancing cellular technology and wireless carriers who may collaborate in the future, it causes the cell tower lease to lose value in the process. They are preying on the landlord’s fears and acquiring the cell tower lease at rock bottom price.
It just doesn’t make sense that you have to cash out of cell phone tower lease all because you are afraid that sooner or later, the tower will be obsolete. If it really has no value, then why would they ask you to sell it to them? Smartphones these days are growing day by day as many people are bandwidth hogs as well. This has actually forced various carriers to meet the higher capacity load which translates to more tower leases.
Best case scenario here is, the deal falls in the landlord’s favor when they are shown with lease purchase offer by a well known investment group. As a matter of fact, wireless capital investors look forward to acquire specific tower leases in an effort to expand their portfolio. The buyout deals from the wireless financial service funds have a tendency to provide better deals compared to industry bottom feeders. It’s because these are the kinds of deals that are taking advantage of uninitiated landlords. On the other hand, you should be aware that even the lease buyouts provided by bigger players in the industry have to be evaluated and reviewed thoroughly.
A question that commonly asked by cell site landlords is what lies ahead of them for cell tower leasing? They’re weighing options of either taking chance if they can snag hefty monthly rent checks for their carriers or sell their lease for a lump sum. Like what is mentioned earlier, everything has to be checked thoroughly.