How Monetizers Value Cell Lease Income Streams
How Monetizers Value Cell Lease Income Streams
When valuing a cell lease, third party buyers consider many factors. The most important are:
Quality of Tenant- Is your lease with T-Mobile, Verizon, ATT or DISH? These tenants command a higher value than US Cellular or other regional carriers or wireless users.
Monthly rent and escalation- Is your current monthly rent above or below market? Do you have a market escalator (3% per year or 15% per term) or is it below market (1.5% or CPI)? The rent escalation is a major driver in valuation.
How much term is remaining on the lease? Monetizers might pay a higher price for a shorter term if they feel confident the rent and escalation is under market and they have a chance to normalize economics. This saves you time and expense to renegotiate the lease to add term, when you can sell the lease today.
Right of First Refusal or Consent Clause- Having these clauses can decrease your value by at least 10%!
We are seeing astronomical pricing right now. If you or a client is considering selling, please contact us today to receive a range of value. Our team assists in monetization’s across the United States and can guarantee to acquire the highest and best buyer.
Contact us today to obtain your free valuation!