Speaker: Harrison Bailey, Director of Acquisitions , TowerPoint
What is a common question many cell site owners have when they begin working with TowerPoint?
Harrison Bailey: I would say that the most common question is how does the process work? Are we buying the property? Are we buying the steel, or are we actually just buying the lease paper?
What should cell site owners consider when deciding to sell their lease?
Harrison Bailey: In my opinion, the biggest thing that cell tower owners or cell site owners should consider when selling their leases is just the ability to capitalize and control the money that is coming in. These leases are not guaranteed. Our payments are, and once we have a partnership established, we're looking to keep the site there, uh, you know, as long as we can, and most site owners get to share in any future revenue moving forward.
What is currently happening in the industry that may affect cell site leases and their values?
Harrison Bailey: Well, the current rise in interest rates is definitely going to have an effect on the value of these leases. Um, You know, we're tied to the financial market. And as the cost of capital goes up, you know, the ability to pay a higher price for us, uh, takes, you know, a little bit of a dip there. So, um, that's the short answer. But at the end of the day, every lease is different. Every situation is different and there could be quite a bit of money they're sitting on.