Cell Site Lease Amendments


It’s very likely that your cell site tenant will approach you at various times during the life of your lease asking to amend the agreement. Your tenant may say that the amendment is perfunctory, or it’s required by law.

You’ll start getting phone calls—sometimes several per day—from the tenant’s rep checking to see whether you’ve signed the Amendment. You might hear that the Amendment needs to be back in their hands right away or something bad might happen to them. The rep might tell you that he or she is going to be in the neighborhood in the next couple of hours and would like to stop by and pick up the signed Amendment.

If you delay, the rep might say something like, “I’ve been authorized to offer you a payment $500 to execute the Amendment, but only if you sign the Amendment within…”  Well, you get the idea.

Here’s the best thing you can do when faced with this situation…

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…and don’t act, much less sign, until you know exactly the WHO, WHAT, WHEN, WHERE, and WHY of the Amendment.

In our experience, most of the time you are requested to sign a Lease Amendment because something your tenant wants to do is not permitted in the lease.  When something is not permitted in the lease, it’s time to carefully think about:

  1. Who is impacted by the proposed Amendment;
  2. What, exactly, is to be changed in the Lease by the Amendment;
  3. When will the change(s) occur;
  4. Where will the change(s) occur;
  5. Why is the Amendment needed now?

When your tenant requests an amendment, you should consider whether a rent increase/escalator increase  is appropriate (usually one or both are), and DO NOT FORGET A KEY POINT when your tenant requests to amend your lease. . .

key_pointWhen your wireless tenant requests a Lease Amendment, it is always the right time to pull out your existing lease and identify some terms in it (beyond the money terms) that are not working for you.  This is the time when your tenant needs your permission, so don’t squander the opportunity to request some things  in return  from your tenant.   Many of the legacy leases contain anti-landlord terms that should be removed, and this is the time to do it.  We know what those terms are, and we can explain to you why they should be removed now while you have that relatively-rare opportunity.

The Cell Site Lawyer would be happy to chat with you about these points.

For a free initial consultation, please give use a call (toll free) on 855-Cell-Site.

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