Have you ever walked down a neighborhood or town and wondered how all these cell towers ended up on properties? Do cellular companies buy out these properties to place their cell towers? Or is the government securing this land for the companies?
If you don’t know already, be prepared to be surprised – cell towers are often placed on land that has been leased out by property owners, which means that if you have land or property, even you can make it available for a cell tower. But there are a lot of things that go before that happens.
And if you are wondering how much a property owner can make through a cell tower lease, keep on reading and you’ll be surprised again.
What is a Cell Tower Land Lease?
- A cell tower lease is basically an agreement between the cellular company and the landowner. The owner makes his/her property available for lease for a specified amount of time and a cell company can lease this land and place their tower and pay rent to the owner.
The rent rates Verizon Wireless, AT&T, Sprint or T-Mobile pays can vary significantly and their worth is based on many factors such as location and cellular needs in the area. If the location of the property is important for the cellular company, they may pay you a lot and similarly, if the need is not that much, you may get paid less.
- The location of the land is very important for cell tower companies and sometimes American Tower, SBA Communication and Crown Castle are even willing to pay more if they can add more than one carrier. Also Verizon, AT&T or T-Mobile might place a cell tower on top of electrical transmission or utility poles, low level rooftops and on church steeples, billboards and signs.
The bottom line is that the wireless leasing business can be very lucrative for a landowner or it can be a huge headache depending on the kind of lease that you end up signing. So make sure you get sound advice.
What’s the Demand of Cell Tower Lease Rates For 2020 and Beyond?
- Demand is high and will continue to rise because more and more users are in need of faster data and increased capacity and cellular companies are struggling to keep up with demand. So they are always on the lookout for properties to install more equipment. Over one million addition 5G small cell sites will need to be added in addition to the 5G upgrades that will be completed on the existing 330,000 cell sites that are in operation currently in the United States.
And with 5G technology becoming increasingly in-demand in 2020 and 2021, you can well imagine how good things are looking right now for this industry. If you have a property that meets all the criteria of a cell tower lease agreement, you shouldn’t think twice about leasing it out. Private landlords can expect to be paid between $200 and $500 per month if Verizon, AT&T or Sprint selects their rooftop to place a 5G small cell site. Landlords can expect to receive 100% to 200% additional revenue if their site is selected for a macro cell site or cell tower in 2020 depending on their location if the lease is structured properly.
Looking to Lease for a Cell Tower?
- If you have a property and you want to lease it out for a cell tower, you will have to know a lot about what goes into an agreement and how cell tower lease rates are calculated. Tower Genius is a premium cell tower lease consulting company that can help you with this.
We have years of experience and we have helped hundreds of property owners across America who have been contacted to have a tower placed on their land to secure lucrative and soundly structured deals with cell tower companies like Crown Castle, American Tower and SBA Communications and wireless carriers such as AT&T, Sprint, T-Mobile and Verizon Wireless. Remember, these companies come to you well prepared, the question is, are you prepared? Get in touch with us today Tower Genius at 888-313-9750.