Do you have a cell tower and are facing an American Tower lease negotiation or cell tower lease buyout?
American Tower is one of the biggest cell tower operators in the U.S and is ranked 410 on the Fortune 500. It was founded 1995 with approximately 180,000 sites worldwide, with over 40,000 in the United States. Some of its main competitors include Crown Castle and SBA Communications.
Here are 3 common mistakes to avoid in order to maximize your opportunity with your American Tower lease negotiation. Please feel free contact us for your free consultation and expert advice.
1. Accepting The Wrong Terms In an American Tower Lease Extension or a Cell Tower Lease Buyout
The terms that are negotiated are very important.
Cell Tower Agreements Are Complex
A typical cell tower lease agreement has over 20 separate sections. A standard American Tower lease buyout has over 25 separate contract provisions. Unfortunately, most landlords do not negotiate these agreements the way that they should and end up accepting provisions that – with the right help – they would never have done so. Consequently, it can cost them greatly in time, expense and lost income.
Knowledge is Power
Have you ever heard the phrase, “you don’t know what you don’t know?” It is a simple way of saying that without the proper knowledge and experience, you will – undoubtedly – not know what you are missing. Having the correct knowledge provides for the ability to maximize a situation.
“Don’t Get the Short End of the Stick”
Have you ever hear the phrase, “don’t get the short end of the stick”? Without the right expertise, you can almost guarantee that – in a negotiation – this will be the likely result. The experts at Tower Advantage are here to protect our clients’ interests interests so that does not happen in your American Tower lease agreement negotiation.
2. Thinking That Since The Offer Is Better Than You Expect – You Do Not Need Any Help
Often times, property owners will receive an offer that is better than their current situation and, as a result, not seek an cell tower expert before agreeing to the deal.
What’s The “Catch”?
Tower Advantage has reviewed many hundreds of these “better” offers and can find the “catch”. Our experts know the “tricks” that American Tower uses to sign the most profitable leases with their landlords. A signing bonus is a great example of one “catch” that helps them generate incredible profits at the expense of landlords.
Did You Say Signing Bonus?
American Tower will sometimes offer a large signing bonus to its landlords in a cell tower lease renewal. Because most landowners do not know the amount that is being generated on the cell tower, it is often very difficult to gauge whether this signing bonus is fair. As a result, many landlords rush to sign an agreement without understanding what they are losing.
For example, let’s say you are currently receiving $1,000 per month in rent, and American Tower offers you an increase to $1,250 per month plus a $10,000 signing bonus. It may seem like a great deal – you have not only increased your rent, you get an extra lump-sum payment as well. What can possibly be wrong with accepting that deal and why would you need help for a cell tower expert?
What Am I Missing?
The answer is that the correct cell tower expert will know the approximate income that is being generated on the tower. For instance, by knowing that American Tower is making $2,000 in profit on the tower (after your rent payment and expenses) – then you understand that it will only take them five months to recoup the signing bonus ($10,000/$2,000). Now, what if I told you they would have been willing to increase both the rent and the signing bonus with the right representation – and you also would not lose the opportunity?
That is the reason we recommend contacting a cell site lease consultant – like Tower Advantage – today to see if you are making the right deal.
3. Hiring a Cell Tower Consultant Without Legal or Real Estate Expertise
Without the proper expertise, you can create many problems for yourself with an American Tower lease negotiation. Discover the 4 questions to ask before hiring a cell tower advisor.
American Tower Uses Experts to Negotiate
Many times, American Tower will use contractors to negotiate with their landlords. These companies are referred to as lease optimization companies. Examples include firms like Md7, The Lyle Company and Black Dot Wireless. Other times, American Tower will use its own team of professional negotiators in order to obtain the best deals possible.
In any case, you can be certain that they will have the “upper hand” in the negotiation if you don’t select the right cell tower expert to represent your interests.
Legal and Real Estate Experience
In addition to cell site expertise, the experts at Tower Advantage possess both legal and real estate expertise. The Founder and President, Shival S. Bushan, Esq., is a lawyer and real estate broker with more than 20 years of experience. This background provides our clients with the ability to get more out of their American Tower lease negotiation.
Superior “Inside” Information
Plus, since we have helped hundreds – if not thousands – of property owners like you, our experts maintain data on thousands of cell sites across the United States. This information is extremely valuable to our clients when knowing the best parameters for your specific cell tower lease negotiation. For example, we analyze factors such as the traffic a cell tower receives; the tower capacity; the type, quality and amount of any subtenants on the tower; and the overall estimated revenue associated with a specific site.
This allows our experts to not only maximize your your opportunity, but to also best represent your interests.
“I have been a commercial real estate agent for 10 years. Negotiating real estate contracts is what I do as part of the sales process, but negotiating cell tower contracts are a different “animal” entirely.
I was referred to Shival Bushan to see if he could help negotiate the cell tower contract. His expertise was crucial in making sure we did not leave anything out of our agreement – and was well worth reaching out to him. We will continue to reach out to him in the future for any of our cell site issues. – Michael T. – Taylor Properties. [read other testimonials]
Whether you are considering an American Tower lease extension or your are considering selling your lease, one of our experts will be happy to discuss your options – it is an absolutely no-risk, no-hassle, and complimentary consultation.
Don’t regret the call you didn’t make – contact Tower Advantage today for more information.
Contact Tower Advantage today for your free
consultation regarding your offer from American Tower.
(833) MY-TOWER
(833) 698-6937
