The Mid-Lease Reset: How Experts Renegotiate Cell-Tower Terms Before They Expire
While many landowners anxiously await the opportunity to renew their cell tower lease at the end of its term and secure more income, did you know that you don’t have to wait until the end of your lease to renegotiate your cell tower lease? Meet the “mid-lease reset”. Cell tower lease negotiation in the middle to end of the lease is a powerful yet sometimes overlooked opportunity for landowners with current cell tower tenants to make their current agreement more lucrative by increasing their cell tower rent now instead of waiting. Let’s talk about how Cell Site Advisors can help you renegotiate your cell tower lease mid-contract.
Why a mid-lease reset matters
Although it’s not common knowledge, a fact to know about cell tower lease negotiation is that carriers become the most risk-averse with their leases between 5-8 years before lease termination. Why? Because it’s expensive to relocate a cell tower site! By approaching your tenant, with the help of a professional like Cell Site Advisors, in advance, you greatly improve your chances of negotiating a new lease with higher rates and stronger protections in place for your lease as the landowner.
Expert cell tower lease negotiators
One important step to ensure successful negotiations is having the experts do the negotiating. Even if you’re a seasoned leaseholder with good negotiation skills, it’s important to remember how fast the industry changes. When you work with Cell Site Advisors, you’re not only getting a team with decades of experience, but also folks who are well-versed in the current state of industry affairs. You won’t have to worry about things like missed contract nuances, undervalued rates, and potential legal complications when working with us.
Turning expertise into large revenue gains
So what does a successful renegotiation look like? We’re so glad you asked! Although each site and lease is different, some things we tend to work towards in renegotiation include rent increases, escalator adjustments, and technology upgrade fees. While this can sometimes mean a nice immediate increase, the real gains tend to be in the compounded increase, which can amount to numbers over six figures in many situations. No matter the situation, our team is prepared to firmly negotiate in a way that protects the landowner/tenant relationship and maximizes a mutually beneficial outcome for all parties involved.
Don’t go the negotiation route alone. Let Cell Site Advisors step in and help you renegotiate the most lucrative possible cell tower lease agreement for the current and future markets. Schedule your free consult today.
About the Author
Ted Unkel is a principal at Cell Site Advisors, which specializes in negotiating telecom leases and transactions for property owners. He has more than 20 years of experience in the telecom industry, mostly working in nationwide negotiations on behalf of Crown Castle, a real estate investment trust that works with landowners and property owners on cell-tower leases and real estate infrastructure.