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Enhancing Coverage with Rooftop Colocation 

JP Tower has a marketing agreement with a national real estate company, focusing on buildings in challenging suburban zones. These areas offer great potential for carriers to colocate on rooftops, significantly improving cell coverage. You'll often see equipment arrays painted to blend with the building's facade. Rooftop colocations can generate substantial revenue, particularly as building ownership costs continue to rise. 

Explore the potential of your rooftop for colocation. Contact JP Tower today to learn more about how you can enhance cell coverage and generate additional revenue. 

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Maximizing Revenue from Your Rooftop 

Rooftop colocations can be a lucrative opportunity for building owners. With rising ownership costs, leveraging your rooftop space for carrier equipment can provide a significant revenue stream. If you own a major building and a carrier shows interest, it’s essential to explore these opportunities. JP Tower can assist in negotiating the best deals and ensuring that your rooftop space is utilized effectively. 

Unlock the revenue potential of your rooftop. Reach out to JP Tower for expert guidance on colocation opportunities. 

Negotiating Better Deals for Rooftop Installations 

While new rooftop installations are currently limited, carriers are open to addressing specific needs or negotiating rent reductions on costly rooftops to secure better deals nearby. This flexibility can be advantageous for building owners looking to optimize their rooftop space. JP Tower specializes in negotiating favorable terms and helping property owners maximize their returns from rooftop colocations. 

Optimize your rooftop space and secure the best deals. Contact JP Tower for professional assistance in negotiating rooftop colocation agreements.

Rooftop Colocation FAQs

  • What is my cell tower lease worth?
    The value of your lease depends on several factors. If it has over 15 years left and escalates at 3% annually, its market value is roughly 19 times the annual rent. However, lower escalations or a Right of First Refusal (ROFR) can decrease its value. For leases within 15 years of expiration, tenant composition and lease duration are critical. Closer expiration dates increase value, especially with multiple carriers. Sites with less than 5 years left are valued based on a multiple of what the perceived negotiated rent would be at final lease expiration. While a site under 2 years from expiration is based more on a multiple of tower cash flow.
  • How long will the process take to sell my tower lease?
    The timeline for closing depends on any title defects and how quickly attorney redlines are resolved. It's crucial to clear any lines, judgments, or back taxes before starting the process to sell your lease to avoid complications. If there's a mortgage, discuss an SNDA with the lender as it's often required for closing, especially if the loan amount matches or exceeds the purchase price. Properties without a ROFR are simpler to transact. Typically, closing takes 3-6 months, but unforeseen issues might extend it beyond a year, especially with ongoing negotiations between attorneys.
  • When is the best time to sell my tower lease?
    Consider selling your lease if it has less than 10 years remaining, as it's often valued differently by tower and third-party buyout companies. Another opportune moment is just before or after an escalation hit if your lease is long-term. Ensure you have a plan for the proceeds before selling.
  • Should I have an attorney review this lease buyout?
    Absolutely, I recommend getting legal advice. If you sell the property without proper consideration for the tower lease, it could complicate the sale or burden the buyer with unexpected costs like property taxes. That’s why you’d want to account for a reimbursement for property taxes so a future buyer wouldn’t be on the hook for taxes on a tower they receive no benefit from. Contract terms will always favor the tower company and hiring a telecom attorney for that piece of mind is crucial.
  • How long is the buyout for?
    Lease buyouts are often structured as perpetual or 99-year easements. If you prefer shorter terms, third-party buyout companies offer options with 50- or 60-year easements.
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