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Thread: Tower Negotiation Advice

  1. 08-24-2023, 05:33 PM #1
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    Default Tower Negotiation Advice

    I have a tower on my property and the lease has 9 more years on it. The tower company wants a 30 year extension now to help entice more tenants. There is one tenant on the tower(one of the bigger cell phone carriers).

    They always want to buy the paper($115000) instead of paying a monthly rent.....which I'm not really interested in.

    They are going to propose:


    A 30 year extension.

    An agreed increase in the monthly amount starting in nine years.

    A 3% increase per year in the monthly amount starting immediately.

    A $5000 signing bonus paid immediately.

    Anybody got any insight on what a fair monthly rent should be?

    This crowd is from Miami and are fast talkers.


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  2. 08-24-2023, 05:59 PM #2
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    Add 50% to the monthly starting in 30 years.
    Counter on the yearly increase to 6.35%.
    20K on the signing bonus.

    If they balk, tell them to get their shit off your property.
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  3. 08-24-2023, 06:11 PM #3
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    You Already got a Tier 3 Bass boat. So what you gonna buy next?
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  4. 08-24-2023, 06:25 PM #4
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    Actually, let me update my response above to add-
    Remove yourself from the negotiation and let an appropriate party (attorney, realtor, etc.) do the negotiations for you. It might cost you a few $$$ but it would be well worth it IMO. It's sort of like buying a car, I have negotiated a few deals for the buyers (family) over the years and it took the buyer's emotion out of the equation. I got a few smoking deals in the process.
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  5. 09-02-2023, 10:30 PM #5
    Palmetto Duck
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    A 30 year extension warrants more than a 3percent increase now and more in 9 years with that tiny signing bonus. Sounds like they NEED that spot. Just saying.
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  6. 09-02-2023, 11:02 PM #6
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    Agree to most above. They have someone ready to move if they get the extension and willing to pay. Get someone to negotiate that helps with those for a living and the services will more than cover the cost. The money they are putting on it is the equivalent to a penny in your piggy bank.
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  7. 09-02-2023, 11:13 PM #7
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    Quote Originally Posted by Palmetto Duck View Post
    A 30 year extension warrants more than a 3percent increase now and more in 9 years with that tiny signing bonus. Sounds like they NEED that spot. Just saying.
    It's 3% per year,...every year.

    There will be a one time adjustment in 9 years, but the 3% yearly adjustment will still be included.

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  8. 09-03-2023, 12:15 AM #8
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    Correct me if I'm wrong. I thought in 9 years the carrier pays you instead of them? Because they no longer have a lease.

    That's when it's worth big ass bucks.

    My brother has a few towers. He'd be laughing at them. Straight to their faces.

    Sorry. I had to call him.

    He said the engineers at the carriers pick which towers to use based on network performance. Zero cares given if some company has a lease or not. They say "this tower" they cut a deal for that tower. When the lease expires the checks come to you. As the time to lease expiration nears the tower value for sale increases exponentially.

    He also said that seems like a crap deal but no telling how crappy the original deal was and ho much you get paid currently.
    Last edited by BachelorJack; 09-03-2023 at 12:22 AM.
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  9. 09-03-2023, 06:03 AM #9
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    Shit in 10 years towers will be a thing of the past. Satellite phones are just around the corner.
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  10. 09-03-2023, 08:30 AM #10
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    Can you have them install a gun platform at about 30 feet?
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  11. 09-12-2023, 12:57 PM #11
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    Quote Originally Posted by Smilee View Post
    Shit in 10 years towers will be a thing of the past. Satellite phones are just around the corner.
    This
    Lock em in now
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  12. 09-20-2023, 03:03 PM #12
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    When my tower was at that stage with the lease. We increased the rent immediately , tripled monthly, signed a 30 year extension, and increased monthly revenue by 15% every 5 years. The tower has 3 carriers.
    Last edited by Dr Ed; 09-20-2023 at 03:04 PM.
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  13. 09-20-2023, 03:27 PM #13
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    Dr. Ed doesn't post much, but when he does it is something useful like tractor buckets and tower leases...
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  14. 09-20-2023, 05:56 PM #14
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    Quote Originally Posted by Dr Ed View Post
    When my tower was at that stage with the lease. We increased the rent immediately , tripled monthly, signed a 30 year extension, and increased monthly revenue by 15% every 5 years. The tower has 3 carriers.
    Thanks, that's what I was looking for.

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  15. 09-20-2023, 07:21 PM #15
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    Ok so recently my father in law had only one carrier on a tower. The carrier dropped the lease at the end of the agreement…. From my understanding no new contract or carrier has picked it up. What would cause something like that?
    “Duck hunting gives a man a chance to see the loneliest places …blinds washed by a rolling surf, blue and gold autumn marshes, …a rice field in the rain, flooded pin-oak forests or any remote river delta. In duck hunting the scene is as important as the shooting.” ~ Erwin Bauer, The Duck Hunter’s Bible, 1965
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  16. 09-20-2023, 08:06 PM #16
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    Quote Originally Posted by darealdeal View Post
    Ok so recently my father in law had only one carrier on a tower. The carrier dropped the lease at the end of the agreement…. From my understanding no new contract or carrier has picked it up. What would cause something like that?
    I am no expert, but, "From my understanding no new contract or carrier has picked it up. The carrier dropped the lease at the end of the agreement"?
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  17. 09-20-2023, 08:34 PM #17
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    Quote Originally Posted by JABIII View Post
    I am no expert, but, "From my understanding no new contract or carrier has picked it up. The carrier dropped the lease at the end of the agreement"?
    Would the company not be responsible for finding another carrier to be a tenant of the tower or be responsible for removal of the tower if a tenant couldn’t be found?
    “Duck hunting gives a man a chance to see the loneliest places …blinds washed by a rolling surf, blue and gold autumn marshes, …a rice field in the rain, flooded pin-oak forests or any remote river delta. In duck hunting the scene is as important as the shooting.” ~ Erwin Bauer, The Duck Hunter’s Bible, 1965
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  18. 09-20-2023, 08:45 PM #18
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    <I am no expert
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  19. 09-20-2023, 09:09 PM #19
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    They use towers for coverage. If they switch locations they don't need that one to provide coverage anymore.

    It's like a network management engineering decision.
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