We were really unsure what the future held for the cell tower leases or the technology.Just months prior to making this decision a few of our towers were decommissioned and we lost a significant amount of revenue. We are in the business of operating real estate. When looking at the value of the cell towers, we determined the best course of action was to monetize now and take a chance that we made the best decision for the asset in the future. We had one other company contact us, but they were very inflexible and did not want to negotiate—it was their terms or nothing. That’s not how we do business.
I would say competitive monetary value was a big factor, followed by revenue sharing and site management. The risk of industry consolidation was happening with our existing towers, just months before deciding to monetize our leases. Again, we were new to the business of cell tower lease monetization and we simply did not want to continue to assume any additional risk on the revenue streams. We had a few speed bumps on this transaction only because of the complicated debt structure behind the property itself, but everyone at TowerPoint really understood how to get around those issues. We were really happy the relationship could continue beyond just the existing transaction and that there would be a structure in place allowing for professional management of the wireless real estate. As we continue to grow our portfolio, we like to think we have a strategic partner that we will continue to integrate into our ongoing operations. We look forward to a continued relationship with your TowerPoint.
TowerPoint Capital is a leading institutional investor in and manager of wireless real estate across the United States. Since 2007, we have created long-term value for our landlord and corporate partners by emphasizing the company’s core values — Knowledge, Professionalism, Integrity, Partnership. TowerPoint’s leadership team possesses fifty years of combined experience, having invested in (or financed) over $1 billion in telecommunications infrastructure and real estate-related assets. TowerPoint is headquartered in Atlanta, GA with satellite offices around the US.