About Cell Phone Tower Lease
There needs to be proper evaluation and appraisal of cell phone tower lease to get fair market value. 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 various factors that are affecting cell tower lease purchase as well as valuations and these are the cell tower leasing terms favorable for lease buyer, how aggressive is the buyer’s tower portfolio, wireless carries lease values, does the cell site enables extra carriers to pay rent, location of the tower, seller’s credit worthiness and also, if the cell tower has matched the buyer’s requirements.
But you’ll be surprised to learn that most wireless landlords are offered with a low cell phone tower lease buyout. A certain portion of the lease buying financial institutions blatantly is taking advantage of sending letters wireless landlords which then create doubt in their minds. This is a result of advancing and innovating cellular technology as well as wireless carriers who might merge which cause the tower lease to ultimately lose its value. They are preying on the landlord’s fears and acquiring the cell tower lease at rock bottom price.
It doesn’t make sense that you cash out of the cell phone tower lease simply because of the fact that you’re afraid that your tower might soon be obsolete. In case that the lease had no value, then why would they be asking you to sell it to them? These days, smartphones are growing day by day since many more people are bandwidth hogs. This forces carriers to meet the higher capacity load resulting to needing 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. Wireless capital investors are seeking to obtain specific tower leases in order to expand their portfolios. There is a tendency to get far better deals from the buyout offers from wireless financial service funds than industry bottom feeders. The main reason for this is that, they take advantage of unacquainted 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 big question that majority of the cell site landlords asked is, what future they have 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. In the end, everything needs to be checked thoroughly.