It sounds as if you are dealing with a cell tower company. Most
wireless carriers do not discount the rent for land clearing- its
assumed to be part of the lease unless you have requested that they
use a part of your land for the cell tower when there is already a
cleared location that will work for them.
Regarding getting unlimited cell time phones- that never happens
anymore. The wireless carriers do not give air time- and the tower
companies can't. They would prefer to simply increase the lease rate
to accomodate you.
The problem with searching for and using comparable lease rates is
that it assumes that those people who negotiated the relied upon lease
rates actually knew what they were doing when the negotiated their
lease. What if they simply guessed or took the offer from the
wireless carrier? What if they felt that they had done a great job
negotiating by getting a $100/mo increase- when in reality the site
was worth an additional $400/mo?
The value of a cell tower lease is based upon the difficulty for the
wireless carrier or tower company in finding another suitable
location. Whether they can find another location is dependant upon
whether the other parcels in their search area work for them or
not.
I would not sign a lease which placed any responsibility on you for
the increased taxes due to their improvements.
On May 17, 1:16 am, "ShakalaPoodle" <u34268@uwe> wrote:
> We have been approached for acell towerlease. The price they have offered
> is $1,200 for the first 5 yrs then $1,500 after. Their justification for the
> discount over the first 5 yrs is because they said they would clear all of
> the property (apx 6 or 7 acres wooded) and put it in pasture.
>
> I am suspecting $18,000 would be excessive for the cost of getting the land
> cleared and have suggested that we get an estimate from an individual
> contractor for the cost of clearing the land before negotiating.
>
> Is it standard to reduce the rent to such an extent on an initial period to
> cover such expenses?
>
> Also so far we have not been able to find prices for leases on other cell
> towers in the area. The contracts we have located all state to the extent
> "for $1.00 and various other consideration.
>
> My other question is can it be built into the lease to take into
> consideration any increases to property taxes inclucing any that are
> retroactive at the expense of the company?
>
> Oh the property is located in the West part of Knox County Tennessee in a
> high growth area where land is currently selling at $10,000 per acre and
> subdivision homes in the $350,000 price range currently being built.