Co-Location Lease Rates

by Chuck
(Portland, OR)

What is a typical rate for the underlying land owner for a sublease on a telecom site? Are they typically based on percentages or flat rates?

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Sep 20, 2011
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Good question, no typical scenarios
by: Tower Genius

Chuck every site is unique. You can go to the outskirts of Portland, and the lease reps will offer property owners $500 and will kick and scream telling you that there is not going to be any revenue share and threaten to go to another location.

It all depends on leverage. Subleasing lease rates also depend on a few factors. Are you dealing with a tower developer who makes a good portion of their revenue my subleasing to other carriers, r are you dealing with a carrier who also makes a killing on the minutes and usage of this site?

What's the zoning? Are there other sites around or is yours the best and only choice? If your site is superior there are ways to craft the deal where you can truly maximize your revenues.

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