How Are Cell Tower Lease Rates Determined?

While the demand for wireless technology has increased significantly over the last few years, cell tower lease contracts haven’t become any simpler. The reality is that leases and rates for cell towers confuse most land and property owners, regardless of whether they’ve leased their land before. It can be incredibly complicated, especially during the negotiation phase. A wireless company can choose to walk away, or you might not like their offer. One of the biggest sticking points is the rates. So, how are average cell tower rates determined?


One of the biggest factors in determining the rates of a cell tower is the state you reside in – or where the cell tower will be located. For instance, Ohio state’s average rates for a cell tower is almost half of what you’d get in New York state. It’s a strange concept but something that happens quite frequently. The truth is that cell tower lease rates can vary, depending on the state or region its in.

Location Specific

As said above, the state in which your property resides will be a factor in determining a rates for a cell tower. However, it actually goes further than that. For example, a company might offer a considerably lower offer for your property because there are several other cell towers within the vicinity. On the other hand, rates could be more if the demand for that specific location is higher. Remember, it’s all about your property and where it sits. If there are fewer options nearby but a greater demand for a cell tower, that may give you a slight advantage. Of course, cell tower lease contracts aren’t always easy to understand.

Cell Tower Lease Rates Depend on What a Company is Willing to Pay

The stark reality is that while you might think your property is worth ten times more than what a wireless company offers you, it generally isn’t. There are several factors that determine cell tower rates, those include location, demand, and whether there are other property owners willing to undercut you. You might find the cell tower lease to reasonable, and you walk away with a tidy sum; however, it mightn’t always happen. Know more here!

Negotiations are Crucial

It doesn’t matter the average values of cell tower rates, your location, or the demand in the area, walking away with a good price comes down to negotiations. It’s important for you to research average costs in the area and have an expert on your side so that you get a fair deal. Far too many property owners get short-changed and it’s not ideal, to say the least. Instead, you need to calmly go into this as you would with any business deal. You need to consider what cell tower lease rates you’re willing to accept and what you feel is reasonable for your land.

Be a Cautious Landowner

Cell tower rates can vary considerably. It depends on your location, the demand, and really what a company is willing to pay. Of course, as the demand for mobile and wireless technology increases, so too will the demand for cell towers. However, that doesn’t mean to say all wireless companies will break the bank to secure your land. It’s about them getting a reasonable deal to earn the maximum amount of money. So, know what the land if worth before you sign any cell tower lease. Learn more details at: