Tower Talk: What Are The Pros And Cons Of Having A Cell Tower On Your Land?

Have you just purchased a property with a cell tower, or have you been approached by a company that wants to build one on your property? Do you have any unoccupied land that’d be perfect for a tower? To help you make an informed decision, below we discuss the pros and cons associated with cell tower lease agreements.

Pros Of A Cell Tower Lease

1. Passive Revenue 

The most obvious advantage of having a cell tower lease is the income you get. If the land was going to be vacant otherwise, this is a great way to utilize it. A typical cell tower lease has the property owner earning $900-$1,100 per month, with the rate being increased by 2-3% annually.

2. You Can Sell For A One-Time Lump Sum

Some property owners choose to get a lump sum instead. That is, they don’t get paid monthly to have the tower on their land. A deal can be set up in a variety of ways. For one, the owner may sell the property outright, or they could give the company an easement. Or, of course, they could just get a lease.

3. Improved Reception

Having a cell tower close by ensures you won’t have to deal with slow internet or poor-quality phone calls.

4. No Maintenance

In some cell tower leases, property owners are assigned maintenance responsibilities. In most cases, however, the company that owns the tower does most of the maintenance.

Cons Of A Cell Tower Lease

1. Lease For A Long Period

The majority of cell tower leases last 25 years or more. And most leases preclude the landlord from unilaterally terminating the agreement without notice, and often an early-termination fee has to be paid.

2. Aesthetics 

Towers are eyesores and they can negatively affect your property’s value if you live in a residential neighborhood. Plus, many people associate towers with health conditions, so people aren’t clamoring to buy properties with towers on them.

3. Possibility Of Upsetting Neighbors

If you’re in a dense area, chances are your neighbors won’t like the tower being there. And this could lead to unanticipated negative consequences.

Bottom Line

A cell tower lease can deliver a consistent stream of passive income, but these aren’t all upside—there are some notable downsides to consider.

To ensure you get a good deal, get advice from the knowledgeable cell tower lease experts at Tower Genius first. We’ll explain all the important things you need to know about lease agreements, and we’ll help you with negotiations so you get a fair deal.

And if you need to get out of a bad lease, we can help here as well. Call us or reach out to us online to learn more!


Carriers & Tower Companies Have Their Hired Guns. Shouldn't You?

Negotiating a cell tower lease, trying to figure out what the correct cell tower rent value for your property needs to be, or evaluating the broad range of proposals and offers received by most cell site landlords in 2022 can be very confusing. Connect with Tower Genius or submit your info below, and we'll evaluate your situation, answer your questions and even make a few recommendations you may benefit from.

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