Understanding Cell Tower Ground Lease
A Cell Tower Ground Lease is a rental agreement between a cell tower company and a landowner. Cell tower companies have to set up their towers at different locations. However, most of these companies look for a lease option rather than to purchase the property to set the towers. Leasing is more feasible as companies cannot afford to buy assets everywhere they want towers, and often they wish to relocate towers.
Landowners put their property out for cell ground companies. Usually, there are lease brokers who arrange a meeting between the company and landowners. In these meetings, the lease agreement takes place, and both parties sign the contract for a stipulated time period. Once a ground lease becomes a binding agreement, both parties will have to adhere to its clauses as per the lease agreements. The lease goes to an extension after the expiry if there are any such provisions in the existing lease.