After holding your lease for a certain amount of time, you may be approached by a tower company or broker to buyout your lease. You also may be looking to generate some extra income quickly to eliminate technology and corporate merger risks that could end your monthly cell site income. You can do this by selling your lease through a buyout. A buyout simply means that you sell your right to collect future rent on your cell tower in exchange for a single lump payment today. There are many different factors that you need to consider when it comes to a buyout.

Why should you consider a cell tower lease buyout? There are many reasons why you should, and should not, consider selling your wireless lease today through a buyout. Selling your lease is not a one-size-fits-all solution for all wireless landlords. You should consider all options before making decisions. Factors to consider include when considering a buyout: Do you plan on owning your property for the next thirty years? Do you plan to retire in the next ten years? Could you withstand the risk that the lease will be terminated in the next six months or a ? Do you need lump sum cash today?

Like all real estate transactions, price will fluctuate based on a number of factors including Interest rates, available buyers, network requirements, and economic conditions all affect what investors are willing to pay for your lease. Since 2011, lease buyout purchases have remained elevated, much in line with national real estate prices in a low interest rate environment. A reduction in real estate value or increased interest rates will certainly have an adverse effect on the price of lease buyouts. Many of our clients want to lock in today’s price while real estate property values are elevated to cash in at all-time high wireless lease prices.