Cell Tower Rent Reduction and Cell Tower Rent Optimization

Lease optimization is the cell site lease optimization for the cellular carrier, not for the site owner. This is a process where the carrier requests lower expense from landlord for the rental terms. It often occurs when the cell site becomes less needed or due to other available nearby sources. These operating companies make money by cutting down their expenses from their collaborators.
Modern position of rent reduction

With the economy as it is, cellular carriers are now trying to reduce their operating expenses. This means that companies who are in the business of lease optimization, such as BlackDotWireless and MD7, are likely to be calling wireless landowners regarding lowering the operating expenses at their cell sites.

A few years ago letters and phone calls from carriers would mean no more than just a tactical threat to land owners. These tactics were used for the purpose of lowering the rental rate at a specific cell site.

Unfortunately, because of today’s tough economy, it is no longer a threat but a fact. If the site owners don’t follow the instructions on lowering the amount of expense, a carrier will usually consider relocation and will eventually terminate the contract.

What can I do to avoid income reduction?

Easy, although not recommended, way of dealing with rate reduction for cell site owners is to simply do nothing. Ignoring them sometimes works, as new things may occur on their scheme and your site may become more desirable. Or they may simply forget to take actions.

If you are not a risky person, and wish to maintain at least some of the compensation, you may sell your rights to your cell tower lease.

There are few organizations, such as Unison and Airwave, who assist landowners in maintaining the value for their cell sites. One of the methods they employ for help is to reduce the monthly cell site rent tax. In the long run, by minimizing the cost of taxes and economizing on the compensated income, site owners can save a lot of money.

Also, these aiding companies help to renegotiate the terms and conditions of cellular carriers. By this method, often paying the aiding agencies a little can save landowners a lot of money in the long run.

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