Have you been contacted by a mobile carrier to have a cell tower installed on your property? Don’t reject it outright as a nuisance. The fact is, leasing your land to a mobile company can be lucrative, and you do not have to do much work at all to make an income. Every month you can enjoy the benefits of some extra money in your pocket. The key is making sure that you get the best deal possible. Cell tower land lease rates can vary greatly, and you do not want to be left getting less than you could have. Make sure that you educate yourself about everything there is to know about the process.
Why You Should Say Yes
There are several benefits that come with entering into an agreement with a mobile carrier to allow a cell tower on your property. The main one is the extra income. Renting out some of your land for a cell tower is not like renting property. It only takes up a portion of the land, and it’s pretty much passive income. There is very little you have to do, other than sign some papers. The mobile carrier maintains the tower, and you just have to allow them access to it. That’s’ it. You can make money doing absolutely nothing. You may even be able to work it into the contract that the mobile company provides you with perks for your mobile service, such as extra data or something else that might benefit you.
It can even take up so little of your land that you might not even notice it is there. Most people envision a large looming tower that blocks out views of nature. However, while some towers are quite large, there are also some that are very small. A standard satellite dish may even be larger. So, you may not even have the drawback of a view-killing structure. Even if you do, you may be able to use that in negotiations to raise the price of the rental.
Throughout the years, fears have been raised about the health effects of cell signals and technologies. Could having a tower transmitting all of those signals be a health hazard and cause things like cancer? At this time, there is no scientific evidence that cell signals cause negative health effects.
Finally, one of the main benefits is that your cell signal at home will always be strong. You will never have to worry about not having to take a call or have slow loading times when browsing.
Negotiating the Lease Rate
The process of renting out a portion of your property for a cell tower lease is a little bit like selling real estate. The price is not set in stone, so you can negotiate with the buyer to try to get the best deal possible. They will certainly be trying to pay as little as possible. There are several things you can do to work on raising the price.
For instance, you can mention any of the drawbacks mentioned above. You can claim that it will obstruct your view of your favorite trees, or that you are concerned about your health. Bring anything into it that might help your cause. Do not rely on any friends or neighbors if they’ve gone through a similar experience. Even if they feel like they got a good deal on their lease agreement, they may very well have gotten a bad deal without knowing it. In fact, because most people are inexperienced in these types of deals, it is actually quite likely that they negotiated a bad deal.
In any negotiation, it’s a good idea to be patient. Allow them to make an offer, and do not jump at it right away, even if it sounds good to you. The first offer is almost certainly not their best one, so you will not be missing out by countering it. Just remember, these leases usually last longer than the property owner lives. $200 a month in lost rental income could come out to $100,000 over the lift of the contract.
Some mobile carriers will try to lease much more land than they really need for their tower. The reason they do this is so that they can eventually turn around and lease the extra land they have to other companies for other purposes. Sort of like a subletting situation. However, they would be making a profit on your property. You can negotiate with them to either agree that they will not lease out extra space, or that you will only lease them as much space as they need. It is all up to what you want to allow on your property.
There is a lot to know about cell tower land leases, and it is a type of transaction that is not all that common. If you’ve been approached by a mobile carrier to lease your land, it is in your best interest to speak with a cell tower consultant. They have the experience and the expertise to help you avoid pitfalls and get the best possible deal.
