Cell Tower Lease Rates and Buyout Agreements

The term cell tower lease refers to an agreement between a tower company and a landowner or property manager who gives the allowance to the cell tower company to install and maintain a tower for a specified number of years. The worth of these contracts is negotiated before tower installation. It is carried out when the lease is being renewed and during contract buyout talks.

Whereas a cell tower lease buyout is frequently referred to as a rental prepayment. It is simply a lump-sum payment which is given to the owner of the property in exchange for the right to receive the cell site rent from the carrier to move forward. The buyout doesn't in any way affect the ownership of the property, nor the rights that the wireless carrier which is assigned the lease agreement.

The cell tower lease buyout is more similar to the real-estate transaction. Whereby the contract is recorded with the local land registry. This is a way of making sure that if at any point the property changes hands or the carrier has to decide whether decommission the cell tower at some time in the future, everyone's rights are safe and won't be tampered with.  Get cell tower contracts here!

There are numerous factors to consider when looking for a location as well as determining the amount of lease buyout to avoid any risks. The terms of the site lease contract, what are the prevailing interest rates, the carrier(s) on the property, what will be the time value of money, and not forgetting the rent. These are just a few of the many aspects that should be considered when listing the worth on a cell tower lease. To know more about cell towers, you may also visit http://www.huffingtonpost.com/2013/12/09/cell-phone-data-requests_n_4414059.html .

The amount of rent agreed on will be based on various factors. The most important one being the amount of ground space required to install the cell tower together with the value of the cell site. Since the carrier will usually take needless space to construct a cell site on a building rooftop. However, the price range of the rent for a cell site isn't based on the formula of price per square foot. The demand the cell coverage and the site will, therefore, give the indication of how much it has got value and what amount the carrier is capable of paying. This can't be compared to commercial leases because they are way more expensive and space to be provided might not be available.

People are advised to look for consultants at http://www.towerleases.com/ who will give valuable information on requested contacts to refer to. They are listed as the top well-recognized institutions to make sure you are dealing with a top cell tower lease expert.