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TowerPoint Capital (formerly Communications Capital Group) is a leading institutional investor in cellular site locations across the United States. Our mission is to leverage our significant knowledge base to create long-term value for our landlord and corporate partners.

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Showing posts with label cell tower. Show all posts
Showing posts with label cell tower. Show all posts

Cell Tower Leases: An Overview

Demand for cellular services remains high. In the U.S. alone, about 91% of adult Americans reportedly own cell phones and smart phones. As mobile subscribers clamor for faster and better voice and data services, wireless carriers must in turn respond by building more cellular sites or towers, particularly in highly populated areas. This ensures that cellular signals remain strong and reliable.

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.

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.

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.

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.


In Defense of Cell Towers in the Community


The long-held misconception that the radio frequency (RF) signals emitted by a nearby cell tower can be harmful to a person’s health remains just that: a misconception. The fact is that there isn’t a single shred of evidence that supports this absurd claim. In truth, cell towers emit a less-than-powerful signal than what one may receive from a handheld cellular phone.

The bottom line is that these naysayers simply don’t want a cell tower in their vicinity, so they’re desperate to find ways to oppose it. These same people are also likely to argue that a cell tower somehow diminishes the property values in their community. The truth of the matter is, it depends.

In today's digital age, the majority of people have become dependent on their mobile phones more than ever before. A cell tower may not be attractive, but buying a property where the cell service isn’t that great is becoming a major issue in the real estate business. Today, nobody wants to live in a place where their fancy gadgets simply don’t work.

Are cell towers an eyesore? That may be the case for some, but having a cell tower around certainly beats not being able to use mobile devices in today’s highly connected environment.

TowerPoint Educates Clients on Maximizing Profits of Cell Tower Sites

Atlanta, Georgia (January 2, 2014) – TowerPoint Capital is educating landlord partners on maximizing profit from their leased cell tower sites. Dedicated to helping clients attain better value from their partnership, the company shares their comprehensive knowledge with lessors so they can be guided towards making decisions that are more profitable.

On their website, TowerPoint Capital discusses the several advantages that come with their cellular lease buyouts. When leaseholders opt to convert their monthly rental income into a large lump sum of cash provided by the company in exchange for future rights to income, they are protected from the risks of reduced profit. This is because available cash in hand accumulates higher value over time by means of accrued interest and inflation.

Keeping lease payments also poses many threats to financial security and gain. One of these is site decommissioning, a process in which the site may be subjected to a shutdown, clearing, or removal.

http://towerpoint.com/towerpoint-educates-clients-on-maximizing-profits-of-cell-tower-sites/

3 Benefits of Selling One’s Cell Tower Leasing

As a landowner who leases his or her land for a cell tower, you might receive an offer to sell the lease at some point. Perhaps you are deliberating within yourself whether or not you should sell, and why.

Your reluctance to sell is reasonable for a variety of reasons. An active lease provides a constant trickle of income. Additionally, selling your lease to someone or a company can be a daunting task that you might be unprepared for.

Should you overcome your indecision, selling your cell tower leasing can result in a number of benefits for you. Here are three of them:

Capital

Although you receive lease payments every month, you won’t be able to tap into that as a long-term revenue stream. Selling your cell site lease can grant you large amounts of capital to invest in other long-term ventures.

Risk Reduction

Not only does selling your cell site lease give you capital, but also it reduces your risk against inflation or an early termination of the lease. Additionally, you minimize the risk of owning a devalued lease when the cell tower becomes obsolete.

Tax Treatment

While it depends on the situation, selling your cell tower lease can also grant you a favorable tax treatment. What this means is that you can defer taxes through a “1031 exchange” if you purchase another property following the lease’s sale.

To ensure that you get the most out of selling your lease, always seek advice from an experienced professional.

Maximizing a Cell Tower's Full Revenue Potential


With the various developments in technology, different wireless networks have been developed to facilitate instantaneous communication. Cellular networks, or mobile networks, are radio networks that are distributed over land areas known as cells. Each cell is served by at least one fixed-location transceiver. To avoid interferences, different cells use different sets of radio frequencies that are distinguishable from their immediate neighboring cells.

A cell site is a cellular phone site where electronic communications equipment—such as transmitter/receivers transceivers, digital signal processors, GPS receivers, backup electrical power sources—are installed. Usually, cell sites can be found on radio masts, towers, and other high places to create a cell in a cellular network. Common structures that are used for cell sites include flagpoles, roof tops, water tanks, smoke stacks, and grain silos.

Some cities in the United States and Canada require cell sites to be inconspicuous to avoid being eyesores to the public. These are known as concealed cell sites or stealth cell sites. Cell tower owners who collect rent payments from cell tower leases or cell site leases could maximize their assets' full revenue potential by partnering with reputable investors in cellular site locations.

Cellular lease purchases differ from rental income because the asset is turned into one large cash payment. This will enable cell tower owners to pursue various other investment prospects, settle or decrease their debts, fund capital projects, and reduce the risk of the site decommissioning.

Statistics Surrounding Cell Phone Towers and Usage

If you are interested in leasing out your property as a cell tower location, or if you are already leasing a cell tower, you may want to learn about some small facts surrounding cell phone towers and cell tower leases.
The latest figures (as of November 2013) show that there are currently 190,000 cell phone towers around the United States, which is an astronomical increase from 1985’s figure of only 900 cell phone towers. Massachusetts leads all states in the list of highest cell tower lease rates, followed by New York, New Jersey, and Maryland. The average cell tower lease rate is $45,000 a year, and the lowest cell tower lease rate is $100. The average cost to build a cell tower is $150,000; and the maximum range of a tower is 21.7 miles.
It may also help to know some statistics about cell phone usage among those residing in the US. People generally believe that cell phones have enhanced their lives, with 76% of respondents in one survey saying they found mobile technology to be helpful. Sixty-five percent of respondents from the same survey also said cell phones have made them become better parents, and a growing percentage say they use their cell phones for other uses such as browsing the Internet and visiting social networks.
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