Though signing a cell tower land lease agreement might seem simple enough, don’t take it lightly cause it is a binding legal document. This means that by appending your signature and name on the dotted lines, you will be committed to the terms of the lease, so if you come to change your mind down the road, you won’t have any other option but to live with those terms.
Service providers usually offer some very enticing rewards for leasing them your land. But however sweet the deal sounds, you should always make sure that the agreement you sign is in your favor.
With that said, below are a few things to look at before signing a cell tower land lease agreement.
Know the Value of the Lease
At fast glance, the numbers you see on the agreement might look pretty good and simply irresistible. However, the mobile company might be selling you under to try to save on the rental fees. To avoid this, take some time to ask other property owners within your area who have signed such agreements how much their leases are worth.
Some of the factors mobile service provider when determining the value of a piece of property include how accessible the location is, how much competition there is in the area, and the signal strength within the area. Make your offer after considering these factors. Don’t charge too high or you face lose the service provider, and don’t charge too low cause you won’t be profitable as you could. We recommend seeking the guidance of cell tower lease experts for the best rates.
Consider the Future
Also, take future possibilities into consideration before signing a cell tower lease. Think about what will happen in case market land rates change, your no longer want the tower on your property, the mobile service provider wants to start a construction project on that lot, or any number of variables.
At first, when looking at the potential income you are going to earn, all these variables might sound okay with you. However, things might change and you won’t be able to continue bearing the pollution, noise, increased traffic to and from your property, and so on. So consider the future first before signing the deal.
Duration
Consider the duration of the land lease. If it’s too short, you might be locked in a deal that won’t change even when market rates change. If it’s too short, the cell service provider may opt to move on to other greener pastures before you’ve earned enough rent from the property. Too find the right balance between the two, we recommend that you hire the services of an expert who will advise you on the best move.
