Some hotels have cell phone towers on their hotels. Consider yourself lucky because YOU JUST HIT THE JACKPOT!
AT&T, Sprint, T-Mobile, Verizon, Metro PCS, and whatever other cell phone provider basically pays out thousands of dollars per month to property owners for the permission to put cell phone towers on their roofs. Most of the time, the property owner doesn’t need to pay for electricity.
That’s a pretty sweet deal. You get thousands per month for doing pretty much nothing.
There are some companies that will offer you a lump sum of cash in exchange for the monthly payment from these cell towers (40-year term). So for example, for a $2,000 / month cell tower lease, you can get a lump sum of about $192,000 (more or less)!
The break even for this is about 8 years, but seriously, how many hotel owners actually keep their hotels for 8 years? And when a hotel brings in millions per year in revenue, a couple thousand is a drop in the bucket during selling time. A person who buys a hotel buys a hotel for its ROOM revenue and is not so concerned about a cell phone tower lease.
I got competitive bids from multiple companies, and we ended up going with UnisonSite.com We got the highest bid from them and they processed the cash relatively quick. Their lawyers also helped us get rid of an erroneous Mechanic’s Lien on our Title. Definite bonus points for that added perk!
Have you had experiences (good or bad) with different lease buyout firms? Have a better idea to best utilize your cell towers? Let me know below.