Cell Tower on Our Property?

Received a packet in the mail on Friday asking if we'd consider allowing this company to erect a cell phone tower on our property. They showed various ways it might be built, including a traditional tower, or a couple of "stealth" options, including a fake grain silo or fake pine tree. Said they'd need about 50' x 50', with access for maintenance 1-4 times per year. We have just under five (rural/suburban) acres, with a small house and yard, and my wife's horse boarding operation on the rest (pasture/barn/arena/parking).

20 year lease, with options to renew, at $1,000/month, with a 2% annual increase. Of course, they'd take care of all permits, construction cost, eventual removal, etc.

Income sounds nice of course, the space and access probably isn't that big a deal, and I suspect that if I say no because I don't want an ugly tower in my yard, they'll probably just offer it to a neighbor so I'll be seeing it anyway.

Anyone have thoughts, experience or guidance to share? Thanks!

 

This has been discussed on here before, but your conclusions are correct. Unless there are unique circumstances you take the deal. If you decline or try to negotiate, they will build it on your neighbor's property and you get to look at it while not collecting the money.

 

Not a cell tower, but my mother in law has two natural gas pumping stations on her property in West Virginia. They require a lot more maintenance than a cell tower and she hardly notices they're there. I guess the big question we need to ask is how much property you have. She has 200+ acres, so a couple of pump stations are hardly noticeable.

 

rd, he has under 5 acres and a mule.

 

Take the $$.

 

So take the first offer? Or negotiate for a little bit more?

 

Not to mention you'd get super dooper cell service.

 

Okay, any dangers living near a cell tower? Look at Metalhead. That mothertrucker lived under powerlines as a kid and he was one small power spike away from having 12 toes and eating paste.

 

Never did it, but, I would. See if you can negotiate. $1000 today = over $1200 in 10 years and close to $1500 in 20 years. If you plan on staying there until you get planted, would make for a nice pension. If you can negotiate just an additional $100 yr 1, that would get you close to $1350 yr 10 and over $1600 in yr 20.
If there are property tax implications, make sure they make up the difference if the property now assesses higher due to the addition.
Not sure if true, but, I once heard of someone say that they negotiated adding their house to the backup generator that was being put in place.
What I don't know is if the lease payment is handled just like regular income.

 

I would investigate what this may mean to your taxes. You will probably have to claim it.

 

Wow, they've come down some on value over the years huh???

- Do YOU get to pick which 50'x50' plot of land they must use? I mean I don't know what the shape of your 5 acres or how your property is set up house & barn wise but if you can stick the silo looking tower in one of the far corners of your lot behind the barn it wouldn't look so unnatural, IMO, and the extra doe would be comforting.

- As Dave alluded to, depending on how close this tower would be from your living quarters, maybe consult a doctor to see if the exposure is a risk or not?

- Lastly, contact an attorney and see what his/her take is....if you're afraid to negotiate a higher fee at the very least maybe feel them out to see if you can get at least 10% annual increases? I'm thinking they came to you first because your land offered the best results, maybe the highest elevation??? Unless your neighbors land offers the exact same pluses they're seeking I don't think asking for a higher annual % is a deal breaker but that's what I'd ask the attorney, if they've dealt with this sorta thing before they'd likely know if the cellular company will walk or not.

Good luck!

I can remember stories, like these in NJ, where they were offered closer to 4k-5k/mo...... I suspect everyone offering to let them put one up on their property ran the price down. I know of one that happened to a coworker, he was buying a home in a rural part of the county I lived in. The home they were buying offered an empty lot beside it that he could have bought for just $25k more, he discussed it with the wifey and they decided they just wanted to buy the home. I don't know if the owner ever sold that lot or not but fast fwd not even 5 yrs and up goes a cell tower on that land. Obviously, he regretted not buying the land now, the owner gets roughly the amount I quoted above.....

 

I would imagine the $ offered are tied to how many alternatives are available...and the cost of real estate in the location. Not all sites are directly comparable.

 

there's a weird game you can play with this potentially, depending on how deep you wanna get involved. some people erect their own tower, then lease it out to as many companies as can fit onto it. out a bunch of money up front, make a shitload more each month. you run the risk of them leaving though at some point and leaving you with a big ass tower, or not filing it up.

if it were me, the way you're describing is the least hassle and no cost outlay, i'd do it for sure. like others have said, the options and location dictate the price being offered. as tech gets better too they may not need you any more in the future. having a 20 year lock for even $1k is not too shabby at all considering that. there's one on this big ass plot of farm land that i ride MTBs at. granted they have way more than 5 acres, but you can't even see it from their house. to me that's free money. as long as its not overpowering your house. also the fake tree ones are neat. and the only reason i even know about any of this is because i'm involved with a cellular project at work, but its kinda interesting, and makes me wish i had property that had this demand of it. there's so many damn ways for a farmer to potentially make money before they even get to farming, i had no idea before this job.

 

just did a real fast google search, appears cell tower leases are negotiable.. and rates vary a lot based on location (according to this sit.
I know ZERO about this consulting firm, but appears there are people that specialize in getting better cell tower rates.

https://www.celltowerleaseexperts.com/cell-tower-lease/

another cell tower lease consulting co. similar info. https://www.cell-tower-leases.com/Cell-Tower-Lease-Rates.html

 

Better rates in exchange for a fee which will offset some of the better rate.

 

i'd take the first 5 years of that tower $ and build me a nice Faraday cage around the house and horse barn.

on the other hand, plant some corn and enjoy free when data usage is high ...

 

I have a relative who deals with this type of stuff daily. Its the main part of his legal practice.

Call him, seriously .

InTown Legal
Rob Turner
404-457-2076

Tell him Tyler sent ya.

 

$1,000 becomes what after taxes? What will be the effect on your Real Estate Taxes? I'd bet they go up with a revenue producing permanent structure on the land.

 

Thanks for all the helpful ideas, I really appreciate it!