New Cell Tower Lease: What Is a Property Owner’s Bargaining Power?

When a landowner is approached to possibly allow a cell tower or other wireless equipment on their property they need to first establish what their bargaining power is in this transaction.

Cell tower lease negotiations rely heavily upon the distinctive characteristics of the proposed cell tower location involved and, in turn, what the property’s perceived value is to the cell phone carrier or tower company with that perceived value varying from site to site and cell tower company to cell tower company.

There are several factors that need to considered in negotiating with these companies, including 1)the characteristics of your property or building such as how tall is your building relative to the adjacent buildings in your immediate area or does your land contain topography attributes that distinguish it from others in the areas; 2) what options does a cell tower company have as it pertains to other buildings or properties in the area with a similar layout and zoning classifications: and 3) does your property provide sufficient space for a cell tower company not to only to construct a tower but allow for possible expansion in the future.

So with all that being said ultimately, a landowner’s bargaining power and leverage in negotiations is going to be directly related to the options that a cell phone carrier or tower company has and the overall value of your potential tower location to that cell phone carrier.

If a landowner moves forward with a cell tower lease transaction the following are the primary areas of such transaction he or she should focus on:

  1. Rent – Rent offered will be based on numerous and varying dynamics. The most important factors are: a) Space requirements of a cell phone carrier or tower company to install its equipment, and a) the overall utility and functionality of the cell tower location to that cell phone carrier or tower. The amount of space (either ground or rooftop) will be dependent upon the type of equipment to be located on a property. The cell tower company will not only be looking for enough space to install its equipment but enough space to accommodate potential subtenants/co-locators. This will typically mean that they will need anywhere from 500-5,000 square feet or ground area on a tower installation and can need as little as 100 square feet on a rooftop installation. However, contrary to other commercial leases a property owner may be familiar with, the amount of space needed is not the most crucial component in the value of a site to a cell phone carrier or tower company and a result rent is not directly tied into the amount of space required.
  2. Co-Location Fees and Sublease – Cell phone carriers build cell towers for functionality but a cell tower company builds cell towers for their revenue potential only. Just think of a cell tower as a strip mall in the sky. As a result, a landowner should share in this revenue shouldn’t they? In addition to the monthly base rents, a landowner should also be aware of the potential to garner certain additional rent from revenue sharing with the tenant. It is advantageous for a property owner to accurately determine what options a cell phone carrier or tower company may have and more importantly what value the site will ultimately garner for the tenant in the form of revenue during the term of the lease. This knowledge will assist a property owner in obtaining the favorable terms in any lease negotiation, including, but not being limited to, its ability to request revenue sharing from a tenant.
  3. Cell Tower Lease Term and Commencement – A landowner is usually asked to make a long-term commitment when it comes to leasing a portion of its property. These leases typically have an initial term of five (5) years, with between three (3) to five (5) successive options for renewal terms at the sole option of the tenant. The reasoning behind the long-term nature of these leases is due to the costs involved in not only installing the tower and other equipment installed at that location but in the necessary improvements at the site itself. This can cost hundreds of thousands of dollars. Therefore, a cell tower carrier or tower company must occupy and use the site long enough to be able to recover a reasonable amount of their invested money. Because of the time and money involved, a cell phone carrier or tower company will never grant the property owner a broad right to terminate at the end of a lease term or renewal, or to otherwise bar the carrier’s or tower company’s right to renew. While this does in some ways limit the property owner in its control of the location, as it relates to the term of the lease, this can prove to be a positive for the property owner as well. For the most part, due to the tenant’s investment in the site it, will serve as some form of security in the long-term source of revenue that will be received by the property owner. A property needs to structure a cell tower or roof top lease that allows the property owner not only the most flexibility when it comes to the term of a lease but also making sure the property owner receives “true value” for the tenant’s occupancy and use the tower site during such term.
  4. Lease Termination – Well as mentioned above a cell tower company or cell phone carrier is making a large investment in a property and needs a long-term commitment so why does that same company insist in having a right to terminate a lease on short notice. A property owner will commonly notice that a cell phone carrier or tower company will seek an early termination clause in a cell tower lease with as little as thirty (30) days prior written notice. The reason for this early termination clause is that the carrier must be able to terminate if a location becomes unusable because of technology problems, or if it loses its license or permit to operate, or, more importantly, it finds the tower site unsuitable due to changes in economic conditions.

A property owner can work to negotiate terms that establish rights that are beneficial to the landowner while limiting the obligations that same party may have under that same agreement, or more to the point get the most and give up the least. A property owner’s first step will need to be to establish “True Value” of its site and go from there.

Round Bottle Cooling Tower – The Best in Cooling Technology

Cooling towers are essential equipments used in the working of many large scale applications. Installation of a cooling-tower is one major factor to be looked at in the setting up of an industry. Industrial cooling-towers cater to a variety of engineering needs and function on the basis of eliminating the heat absorbed in the circulating cooling water systems. The circulating cooling water systems absorb heat from the industrial processes and give out a cooling effect. These towers are used in industries such as petroleum refineries, petrochemical and chemical plants, natural gas processing plants and nuclear power plants and are available in a number of sizes depending on the different industrial applications. Standard towers are normally 200 metres tall and 100 metres wide, however measurements of these towers may differ according to different processes.

In the manufacturing of cooling-towers, special materials must be used in order to be able to resist the heat emitted during the process of manufacturing. The tower must be light weight to ease the process of installation in industries. Also, only certain raw materials which are able to withstand corrosion and resist water borne bacteria should be given first preference. For instance an element like the fiberglass reinforced plastic which is sturdy and has a long lasting effect is popularly used in the round bottle cooling towers.

The round bottle cooling tower is one of the many types of cooling-towers with a water basin made up of water proof components in order to avoid leakage of any sort. In the making of these towers, enough space for it to contain high water levels at all times is given utmost priority. The FRP material in the water basin of these towers gives it an extra support to stand the weight of the water. The round bottle cooling tower is made up of a fan, fan motor, water distributing system, fills and a steel structure. Located at the top, the durable, corrosion resistant and low noise fan saves energy and generates maximum air flow inside the towers. It ensures that the tower is free of problems faced with belt and gear drives. The sprinkler which is part of the water distributing system, mostly of a rotating type is used to distribute water evenly.

Thus the round bottle cooling tower is the best and the safest equipment to be used as a dependable heat removable device in industrial applications. Most industries have been increasingly opting for these round bottle cooling towers, to provide for their specific cooling needs.

Visiting the Eiffel Tower When on a Holiday in Paris

Often known as the city of lights and renowned as a city of romance, its no surprise that such a large amount of individuals take a holiday in Paris, whether or not its for its history or culture, but it’s also at the forefront of art, fashion and recreation, which has created Paris to become the foremost fashionable destination within the whole of France, that pulls thirty million tourists and guests per annum from everywhere around the globe.

There are various landmarks in Paris and the most evident one is of course the Eiffel Tower, which has become the icon of this city and is a fabulous sight, particularly when it is all lit up with the twinkling lights in the dark. And if you are on a romantic break you may experience the champagne bar or perhaps you fancy a meal at the Jules Verne restaurant. However if you like to partake in various activities there is an ice skating rink set up during winter at this monument along with special events around the year, plus you can discover the history of the Eiffel Tower, along with the spectacular views.

Additionally, the Eiffel Tower in Paris is known throughout the globe and located within the Ile de France region, it has become the icon of France. This monument is a significant tourist attraction in Paris that has had over 200 million visitors since it initially opening after its inauguration on the 31st of March 1889, with around seven million individuals still visiting this landmark in Paris every year while they are on holiday in Paris.

When you refer to the history of the Eiffel Tower, you will notice that the first idea began as a contest to make a structure for the 1889 Universal Exposition to commemorate one hundred years since the French Revolution and this Paris monument was solely meant to be a brief structure that would be demolished after a maximum of twenty years!

The winner of the competition was the engineer Gustave Eiffel who was awarded with the winning style for the tower, that after all, is why it has the name it has nowadays, however throughout its construction, that started in January 1887, there were extreme protests to the planning and design.

But, Gustave Eiffel counteracted several of the protests and made lots of good ideas for methods in which the tower may be utilised once created, like for scientific experiments and communications that meant many people eventually changed their minds.

And because of the technical achievements just like the elevators at the Eiffel Tower in conjunction with the tower illuminations and advances in technology, along with the approach in which the Eiffel tower was utilised for communications, we are still privileged to be able to admire this marvel of technology and unbelievable accomplishment of engineering.

Today the Eiffel Tower illuminations have also become an icon and one thing everybody relates to after they think about the tower, and it has always had lights ever since it had been initially inaugurated, which incredibly, had the most powerful beacons in the world at the time.

So when you decide to go on a Paris holiday, make sure you take the time to see this incredible monument and if you can, go to the top of the Eiffel Tower to experience the fantastic panoramic views of Paris, the capital city of France.