Rooftop Leases for Cell Phone
By Lauren C. Olson, Esq. of Peryea Silver Taylor R
ooftops of condominium buildings, both high-rise and lower level buildings, have become an increasingly lucrative
asset. Cell phone carriers, such as Verizon or T-Mobile, are vying for these increasingly scarce spaces and are willing to pay to place cell phone towers on condominium rooftops.
The rising popularity of rooftop leases boils down to their availability to host micro cell towers. While standalone macro cell towers provide coverage, micro cell towers increase a cell provider’s ability to deliver better linked and overlapped coverage. Additionally micro towers help increase capacity, which is important since carriers need to move ever-greater amounts of data in this day and age.
Faced with this potential opportunity, condominium boards need to be acutely aware of the terms and conditions included in cell phone carrier leases. Similarly, if a cell phone carrier offers a renewal lease for a pre-existing cell phone tower on a condominium rooftop, boards should negotiate the terms and likely request a new contract given the prior lease terms are likely outdated and unfavorable—if not oppressive—to the association. The latter situation comes up most often when a cell phone carrier wants to expand and add 5G capability to their pre-existing cell tower array.
Roof spaces are competitive, so associations are in a better negotiating position than ever.
Boards should be aware that because these roof spaces are competitive, associations are in a better negotiating position than ever and should take an aggressive bargaining
26 Community Associations Journal | November-December 2023
approach. Important terms for association boards to be aware of and thoroughly consider include the following.
The board should negotiate for the cell phone carrier to be responsible for relocation.
Relocation
Who relocates and who pays for the relocation of cell phone tower-related equipment when the condominium needs a major repair such as a roof replacement or recoat. It’s also possible the roof space may be needed as a staging area for other building repairs. In such cases, the board should negotiate for the cell phone carrier to be responsible for the relocation, ensure the relocation area and set-up has to be approved by the board, and have the cell phone carrier pay for the relocation. If such relocation terms are not clear,
Towers
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