New Cell Site Technologies Changing Cell Tower Leases

Massive development has occurred in the cellularchanged from "best location" to "multiple location"
market over the past quarter century. Beginning its lifetechnology.
as a gadget that only the elite could afford, the cellBecause of this positive change in technology,
phone has become a basic commodity for everyonenetworks no longer need to concentrate on finding the
in all walks of life. This transition couldn't have takenso-called "ideal" locations for cell sites and cell towers.
place without the global growth of wireless networks,While consumers have benefited from these
the backbone of the mobile phone. For many years,advances in cell phones and cell towers, there has
constructing new cell sites and towers was essentialbeen a great decline in the amount of rent seen by
for all cellular networks just so they couldmany property owners with cell site leases. Cellular
accommodate the rising demand. Today, marketnetworks are now checking on each and every lease,
changes and fast-paced technology upgrades haveand since many of these leases were signed back
stimulated wireless network providers to reevaluatewhen the technology was very much different from it
many of their older cell sites, cell towers, and theiris today, they're often requesting a rent reduction or
wireless leases.moving elsewhere. At the same time, these same
Back in the day when cellphone technology was justadvances in technology have also led to more
starting to make a name for itself, much of the hooplacompetition for cell site leases. Since there's no such
was focused on erecting networks as quickly asthing as a "prime" spot any more, plenty of property
possible. This happened in the late 80s and early 90s,owners are offering low rental rates to attract high
fondly referred to as "the first and secondcredit cellular network leases.
generations" of cellular technology. It was during theseAdvances in cellular technology in the last 25 years
times that "prime" locations of cell sites werehas been magnanimous, and the industry is still
considered to be of utmost importance. A number ofaggressively advancing. The physical needs for a cell
properties and buildings offered "perfect" areas forsite have changed, and cell tower leases are now
coverage, and networks often paid excessivebeing renegotiated. A good number of the property
amounts of money for these "prime" and "perfect"owners aren't quite happy about renegotiated leases
locations.and the lowering of their cell site and cell tower rents,
But as the expression goes "times, they are abut consumers - and even the entire country - are
changin'."enjoying the benefits of improved performance,
Contemporary cellphones are in many waysservice, and the stability of wireless networks. It's not
completely different than their 1st and 2nd generationall gloom and doom as far as landlords are concerned,
predecessors. Before, higher antenna sites werehowever. As part of a cell site tower lease
needed in order to support as many mobile phonerenegotiation, many landlords are able to secure a
users as possible...but it's not this way any longer. Inlong-term rent guarantee. Since cellular operators are
fact, the preferred location for cell towers is almostalso one of the best clients a landlord can have, a
completely opposite now. Much of the operations arelong-term arrangement is often considered "money in
now centered on sites that are closer to the ground,the bank." Still, technology and market forces are
allowing for greater bandwidths. This means that cellconspiring to force property owners to be more
phone users have more tower locations and cancompetitive in order to retain their tenants. Such is the
therefore use more services. The towers havemarch of capitalism.