Looking for comparable cell lease rates in Canada as there is little public information on current cell antenna rates for ROgers, Telus & Bell. Carriers use confidentiality clauses and legal notices to keep the sharing of this information to a minumum. This makes it difficut to negotiate renewals and new leases at any time. Carriers are in an advantaged position. Until now.
Antenna Management Corp. (“AMC”) is pleased to announce our Canada Rent Index Map for cell antenna sites. This is the first cell antenna Rent Index (“RI”) map available in Canada. Landlords and managers can now compare their site by cell carrier for all types of sites and locations.
The Rent Index is calculated with an algorithm specific to each Carrier and each site. A key RI benefit is that site location and site type are included. The Rent Index map filters by carrier and provides and RI for sites in Canada for all locations and types.
With the Canada Rent Index Map, the RI gives the Canadian landlord a new tool to determine the value of their site for each cell carrier. Critical when negotiating rents. If a site is rooftop, tower, co-location, new, old, downtown, on a highway, on a farm, rural, or sports stadium – the location and type is calculated. The RI is also specific to the individual carrier.
Market rent is determined by what the site is worth to the carrier – not what other landlords are getting. AMC has observed that currents rents are generally what a Carrier can negotiate with landlords having no comparable rents. Cell carriers often limit landlords from sharing their rent data with other landlords. This creates a significant advantage for Carriers when negotiating rents.
The actual rent paid to the landlord depends in part on the RI and lease terms. Using the RI gives landlords a new advantage in negotiating rents. The RI can be used to calculate national average gross revenues for individual cell sites with Rogers, Telus & Bell. All the other carriers can be extrapolated. The data has been extracted from Antenna Management’s national database of actual rents and terms, from published Annual Reports of the carriers and the ISDB database. Data is updated quarterly. An RI of 100+ indicates an annual revenue of over $1 million annually for a carrier. Target rents are 2% of gross site revenue.
Check your site on the Canada Rent Index Map.
For further information on your site and target rents, contact us or call 604-566-9811.