Cell Tower Companies and Lease Renewals

Many people contact Gunnerson Consulting to ask if they should accept an offer to extend their cell tower lease with a tower company. The short answer: get professional advice before signing anything.

In the past few years, many property owners have seen their cell tower tenant change from a wireless carrier to a tower company. This change happened because wireless carriers have been selling their tower assets to dedicated tower companies such as American Tower, Crown Castle, SBA Communications, and Vertical Bridge.

The typical model in approaching a cell tower landlord is to send a letter to the property owner requesting a meeting to discuss “lease optimization.” This is often the first step in a process that could result in you accepting less favorable lease terms.

If a property owner is interested in renewing the lease, the tower company typically proposes terms that heavily favor their interests. Without knowing what the market supports and what your specific site is worth, you are at a significant disadvantage.

Gunnerson Consulting works exclusively for property owners and is well-versed in the tactics used by tower companies during lease renewals. Contact us today for a free initial consultation.