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Cell Site Lease: A Unique Way for Schools to Generate More Income

If the deal pushes through, it will be a boon both to the schools and the countless residents who rely on their cellphones for communication. Of course, when a major mobile carrier approaches a landowner, the latter should carefully review the cell site lease terms before accepting the offer to ensure that he is getting a fair deal.

Fortunately, clients can seek help from companies like TowerPoint Capital so they can get the best terms from the potential cell site to be leased. With a cell site evaluation, these firms can identify factors that affect rates such as elevation, accessibility, and number of subscribers that will benefit from the new cell site. Having this knowledge in hand, school districts can negotiate with interested parties more easily for a favorable price.



How Cell Tower Lease Rates are Determined

With cellular phones and other similar mobile devices growing in usage and popularity, many landowners are perfectly poised to generate considerable profits by leasing out their land to wireless providers. Cell towers play a central role in facilitating the voice and data functions of mobile devices. To provide better service to their subscribers, wireless companies actively scout for available real estate at key locations that make for the ideal cell sites.

In pretty much any cell tower lease agreement, a property’s strategic location directly influences the lease rates it can command. Essentially, wireless companies are willing to pay a handsome fee to lease the rights to set up a cell tower at prime lots with easy access. Meanwhile, similar parcels of land located close to other existing cell towers typically attract lower offers.

Other factors also affect cell tower lease rates. For instance, wireless companies typically want their towers to be built in locations far from residential areas to prevent being an eyesore in the community. Additionally, some wireless companies will insist that their towers only provide their cellular coverage and prohibit the property owner from accommodating other carriers.

Such specifics can be used to a landowner’s advantage when negotiating the terms of a lease. It certainly doesn’t hurt to have a lawyer to outline these details.


Four Factors that Determine the Worth of Cell Phone Towers in a Lease

Number of years remaining on the lease

“Cell companies will pay far more for a lease in its final years,” according to Pestle. To make things clearer, a lease that is one year away from its expiration is worth far more than one that has ten years to go.

Current rent being paid

“If the buy-out price is just one lump sum payment to the landlord, then a tower with multiple tenants collectively paying the landlord $3,000 per month is worth far more than one with a single lease paying $500 per month. This is less of a factor if the landowner gets to keep all the rents until the current leases expire,” states Pestle.



Cell Tower Locations as Real Estate Investments can be Very Profitable

Prime cell tower locations can be lucrative real estate investments, as you may gather from the article above. Unfortunately, the benefits of this type of investment may not be obvious to every property owner. Perhaps the better way to put it is that some owners are not fully aware of the profit potential of owning a cell tower site.

Luckily, property owners can talk to a seasoned cellular site investor like TowerPoint Capital when looking to value their cell site. The demand for cell phone towers at certain locations affect property value, and typically, high-traffic urban areas and college towns have the highest demand for cellular services.



How Does Wireless Communication Work?

Have you ever wondered how your friend who lives thousands of miles away can send you a text message in an instant? Here’s a simple explanation of how wireless communication works and what elements are responsible for making it happen.


Leasing Out Your Property for Cell Tower Setup

If a portion of your property largely remains unused, you can turn it into an income-generating site by leasing it out to wireless service providers. After all, mobile wireless companies are constantly on the lookout for available spaces where they can put up cell towers and thereby provide better services to subscribers.


Cell Tower Lease Facts: What You Should Know Before Signing a Deal

Indeed, whether you’re a church leader or a land owner, a cell tower lease deal can be a significant source of income. Nonetheless, when you’re offered a lease contract for a cell tower to be installed in your property, or when a wireless carrier wishes to rent your cell site, you have to be smart about it. You can’t sign a deal without analyzing the fine print and verifying its benefits.

To guide you through the negotiations and the intricacies of the transaction, you can call on cell tower lease experts from companies like TowerPoint. Such professionals may even provide a complimentary site valuation to help you determine the actual value of your cellular site. This ensures that you get the appropriate monthly payments, and your rights as the landlord remain protected.

Finally, if you decide to sell your cell tower lease for whatever reason, professionals from companies like TowerPoint can also be your partners.



Reaching the Skies: Types of Cellphone Towers

When people talk about cell phone towers, they usually picture large structures akin to telephone poles, but without the wires. This is quite an apt description, although cell phone towers are much more complex than that. Given the sheer variety of cell phone towers, property owners who are interested in entering cell phone tower lease agreements would do well to learn about the spatial requirements for each type of tower.


A Deal, Not a Steal: Settling Cell Tower Leases

Cellular towers play an important role in telecommunications, particularly since they relay signals from mobile phones to operators who then redirect the data to recipients. To serve the growing demand for reliable mobile data and voice services, property owners can put their properties up for lease as cellular tower sites and in return earn a considerable income for the duration of the lease.


Sitting on a Gold Mine: Evaluating Your Land for Cell Tower Leases

If you own a track of land and you’re looking to turn it into a nice investment to rack in a lot of profit, leasing your property to a cell tower buyout company might be the route for you. Essentially, contracts for cell tower leases happen when you and the aforementioned company (ones like Towerpoint Capital for instance) come into an agreement to lease your land so they can have a cell site or tower installed. However, you should first find out just how much your property might be worth:

Factors Affecting Cost

Location is the main factor that will affect how much cell tower lease companies will value your land – essentially, the fair market price of land in your particular place. Easy accessibility to the site is also very important (which is why properties in urban areas are often leased). Moreover, you should also check your area’s local zoning laws if you could actually have a tower built on your site.


Cash In On Your Flagpole: Lease Property to Cell Phone Tower Companies

It's a practical partnership more than anything. “It helps keep expenses to where we can pay all our bills,” said church administrator, Ted Olson. In fact, the church has been getting offers to buy out cell tower leases by company rivals. An article on Christian Examiner Online frames the issue:

In most cases the church is approached by a cell tower company or wireless service provider, which negotiates a lease for an installation site that it will service and maintain. The church benefits by receiving rental income from the lease.
Trinity Presbyterian Church in Spring Valley, Calif. got its first wireless contract for cell receptors embedded in the sanctuary roof in the early 1990s. The church has since acquired two more cell sites, a 75-foot cross outside its fellowship hall and an artificial palm tree in the play yard of the church school. Each brings a revenue stream from a different cellular phone company.


Getting Cell Phone Tower Companies to Notice You

As any property owner who’s allowed a cell phone tower company to lease their land for a cell site can tell you, doing so is a great way to generate long-term residual income. It is for this reason that many owners try their best to attract interest in their property whenever a site acquisition agent rolls into town.


Great Rental Rates for Your Cell Site via an Institutional Investor

For self-storage operators, this factor offers an income-generating opportunity that supplements the primary uses for their space. Given the many intricacies involved in a cell site lease arrangement, however, it is undoubtedly sensible to work with an institutional investor who can arrange a long-term lease with favorable terms. An Inside Self Storage article warns about the various pitfalls interested parties need to avoid:

The mistake many self-storage operators make is, being in the real estate business, they continue to track the elusive “market rent” figures when determining how much to charge a cell-tower company. To be crystal clear, there’s no such thing as market rent when it comes to a cell-tower lease. If you try to use comparable rents in your area, you’re using data that will only cause you to perpetuate under-valued rents that have been paid to property owners for the last few decades.



Rooftop Cell Site Lease Considerations

Leasing your rooftop as a cell site for a telecommunications company is a great way to generate residual income. However, you’ll have to keep certain factors in mind before you go ahead and sign a lease agreement.


From Lattice to Concealed: A Look at Four Kinds of Cell Phone Towers

The article then lists two more types: the guyed cell tower and the stealth cell tower. The former- which takes its name from the wires that support it- has been said to be the most inexpensive of the four types, though it does require more space. The latter- also known as the 'concealed tower'- is made to visually integrate with the locality, whether out of adherence to zoning codes or out of consideration to those who may think it an eyesore; this had led to some rather creative disguises, from cacti in Arizona to even a church crucifix in Florida.

Once you've determined good cell tower lease rates- whether directly with a provider or through established services like TowerPoint Capital- you can expect to see any of these cell towers rise on your property. You can take pride in knowing not just that you've found a way to profit, but also that you're aiding the cause of progress.



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