After congress passed the Telecommunications Act of 1996 (www.fcc.gov/telecom), there was a great amount of building new Cell Phone Towers.  This period was the “Wild West” of the Cell Tower industry and many companies entered into and devised many different Cell Tower Leases.  As a general rule, most of these Cell Site Leases were for a five-year terms and had several five-year options for the Cell Tower companies.  These options always automatically renewed unless the Cell Tower Company decides not to.

Many Landowners are currently receiving rents from these Cell Site Leases and Cell Tower Leases written during that period.  Because these Cellular Leases were negotiated with Cell Phone Tower Companies during the infancy of the Cell Tower business, most are one sided and the Cell Site Owners negotiated a low rent for the cell site lease.

Now, with the expiration of these Cell Site Leases set to expire, Landowners are in a much better position to renegotiate their Cell Site Lease with the Cell Tower Companies.  There are many factors to consider.  The size of your compound, the number of tenants on the tower and the quality of these tenants are just to name a few.   Comserve can help you make the right decision renegotiating your cell site lease.

When you are renegotiating your cell site lease, every $10 in rent will amount to Ten’s of Thousands of Dollars over the life of the new cell site lease.  We will eliminate the guesswork and deliver the best possible deal for you.  There are many facets to renegotiating a lease and the Cell Tower Companies may try to “slip” something by you.  They may get you to agree to something that you really don’t understanding and could have lasting ramifications.

Crown Castle (www.crowncastle.com), American Tower (www.americantower.com) and SBA (www.sbasite.com) are the largest list of Cell Tower Companies in the US currently.  There are also other companies like Tower Co (www.towerco.com), Mobilitie (www.mobilitie.com), Diamond (www.diamondcomm.com), Tristar (www.tristarinvestors.com) and many others.  These companies will approach Leaseholders to buyout their Cell Site Leases or extend the Cell Site Leases for as little money as possible.  Many owners, due to fear of losing their Cell Site Lease, enter these agreements and leave large amounts of money on the table.

In most cases, the Cell Tower Lease or Cell Site Lease has been undervalued for years.  This can make an offer appear to be very attractive at first glance.  These Cell Towers represent an excellent opportunity to renegotiate a better and more profitable lease. Situations where there are many tenants on the tower are likely to be excellent opportunities to renegotiate.  ComServe has the ability to determine the “real” revenue on your cell site and get the best deal for you.

Please contact us before you enter any new Cell Tower Lease or Cell Site Lease Agreement.

Crown Castle, American Tower, SBA, TowerCo, Mobilite, Tri-Star and Diamond are trademarks of Crown Castle International, American Tower Company, SBA Communications, TowerCo, Mobilite Partners, Tri-Star Investors and Diamond Communications.  Comserve is in not way affiliated with these companies.