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New Cell Tower Lease Negotiations

Services > New Cell Tower Leases

Cell Tower Lease Negotiations – What To Know

You have been approached by a wireless carrier representative (AT&T, Verizon, Dish, T-Mobile) or a tower developer,  to possibly build a cell tower on your property. You have lots of questions and need help to decipher the complex development process. Why was my property selected? Did they offer me a fair rent? How much is it worth? What terms can I negotiate? What do all these engineering requirements mean? How will this affect my use of my land? These are important questions that need answers. Terabonne helps you answer all these questions and strategize with you what is best for you. 

Negotiating Cell Tower Leases

To represent you effectively, Terabonne’s team of wireless experts cover the full range of skills required for all areas of development and cell tower lease negotiations. A few of the areas include structural and RF engineering, cell tower and rooftop designs, contract law expertise, negotiating skills, cell tower leasing and construction best practices and industry contacts. Terabonne has the resources and expertise to represent your interests confidently throughout the entire cell tower negotiations and development process.  

Many people, including inexperienced consultants who have no wireless tower development experience, mistake “negotiations” to mean negotiating the rent only.  This is far from what landlords truly need.  A completed cell tower ground lease with all necessary utility and access easements, property rights, royalty payments, and engineering designs are just some of the tasks Terabonne takes on for our clients.

Another Successful New Cell Tower Project – Tower Base
Important Utility Easement Negotiations

Looking Beyond Lease Rent Rates

An important part of the tower lease is the rent amount. However, rent is just one sentence in a 30-page contract. It is key that the entire lease is negotiated to our clients’ benefit. When you work with Terabonne, all technological terms, risks, operational requirements, and financial incentives are negotiated by us. We also introduce additional provisions and requirements to protect you, our client. Having negotiated hundreds of wireless tower leases for property owners, Terabonne has the leverage to require wireless carriers and tower companies to use our versions of wireless leases that have been fine tuned to protect our clients. Terabonne has the industry reputation for being expert negotiators and strong advocates for our clients while being fair to wireless carriers.
In order to collect cell tower rents from wireless carriers, Terabonne draws upon our staff to deliver the expertise required to take our clients’ tower projects to the finish line.  Our scope of work expands as required by the projects at no additional costs to our clients.  A signed lease does not equate to income for property owners.  In fact, signed tower leases may never result in income if they are not project managed correctly.  Without this understanding, property owners may be on the hook for very high fees charged by other consultants while getting zero rental income.

Tower Lease Signed. When Do We Get Rent?

Our work for our clients continues after the lease has been signed because there are many opportunities for a project to get terminated before construction even begins. See Gerry White’s situation where we went to court to protect his tower lease. A large number of sites are canceled after the leases have been signed for various reasons: 

  •  Carrier Complications
  • Competing sites are cheaper to rent, construct or operate
  • Mergers and acquisitions (such as, T-Mobile purchased Sprint) eliminate duplicate sites 
  • RF engineering found a new solution
  • Higher design priority moved to a different area
  • Budget changes

Terabonne Creates Project Simulations
To Help Landlords Visualize Better

  • Property Complications 
  • Building or soil structures cannot support equipment/towers
  • Property is complicated with title issues
  • Disagreements on design
  • Inexperienced landlord representatives (representative or attorney) complicating the project 
  • Non-responsive landlord or consultants
  • Regulatory Complications 
  • Neighborhood opposition to the tower project
  • Zoning denied the project
  • Failed biology report
  • Failed SHPO and NEPA studies
  • Environmental Issues

Hands-On Experience. Predictable Results.

Property owners who retain Terabonne consultants can be assured that they’ll end up with a cell tower lease that meets their property use requirements, generates considerably higher cell tower lease rates than those offered by the wireless carriers directly, and will be supported throughout the entire process. With decades in the wireless industry, we’ve seen just about all the issues that can stop cell tower projects. While it is important to recognize the possible complications, let’s consider what it takes to get a site to the construction phase and rent paid to our clients.

Where Else Do Property Owners Need Support?

Tower Wiring Diagram And Hardware Attachments on a Standard Cell Site Build

Cell Tower Lease Negotiations – Delivering Results

Terabonne consistently delivers results beyond our clients’ expectations. Not only do we get cell tower leases signed with excellent financial terms with maximum contractual protections for our clients, we make sure that all engineering and contractual issues are anticipated and addressed. It costs our clients nothing to hire Terabonne because they end up making more money by retaining our services, even after accounting for our fee. Our results speak for themselves – what we deliver is always of greater value to our clients than our fee.

Click here to see some sample terms that go into a cell tower lease to help you better understand the process and terms involved in negotiating cell tower leasing projects.

Experienced Cell Tower Lease Negotiators

Property owners who retain Terabonne consultants can be assured that they’ll end up with cell tower leases that meet their property use requirements and generate considerably higher cell tower lease rates than those offered by tower developers directly.  Terabonne supports our tower projects throughout the engineering designs, negotiations, leasing, construction and growth processes. We deliver substantially more than just negotiating the rent amount.  Let’s discuss what it takes to get a cell tower to the construction phase and rent paid to you.

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A ROFR grants the tower owner the right to match an offer by some third party who makes an offer to purchase your lease that you accept.

Crown Castle, American Tower ATC, SBA Towers are the “Big Three” tower companies.

Attorneys retained by wireless carriers authorized to review legal terms but never allowed to negotiate financial nor technical terms of the lease because they lack the technincal skills.

A person who specializes in land use matters well knowledgeable in its jurisdictional requirements.

A person hired by the wireless carrier to contact property owners to discuss lease terms. This role has evolved to be landlord facing rather than lease negotiations.

Geographical areas depicted in a circle (ring) drawn by radio frequency (RF) engineers defining the areas requiring new cell towers and technical parameters surrounding such designs.

Companies who build towers and lease back to wireless carriers.  These companies almost always receive Search Rings from wireless carriers defining where carriers need towers to be built.

Radio Frequency engineers who specialize in the radio wave propagation. These are the engineers to define cell tower locations. 

Companies that purchase cell tower leases with the purpose of repackaging (aggregating) them in a larger portfolio and selling them for a profit at a later time.