For many property owners, the telecommunications industry appears to have its own vocabulary – here are a few key terms you should be familiar with:
Telco Site / Telecom Tower
A location where wireless carriers have installed antennas and/or communications equipment to operate their telecommunication networks.
The contract between a wireless carrier or telecom tower company and the property owner detailing the financial and operational terms and conditions under which a telco site can be operated.
Rent paid to the property owner by additional wireless carriers to place their antennas and/or communications equipment on a telecom tower owned by another carrier or tower company.
The lease terms that specify when and how much the rent paid by the wireless carrier will increase, typically defined as a percentage of rent at fixed intervals.
Right of First Refusal
Language within the lease that allows the wireless carrier or telecom tower company to match a lease prepayment offer made by a third party.
Network Consolidation is a form of RAN (Radio Access Network) sharing between two or more carriers. The principle allows two or more carriers to operate their networks through shared apparatus and infrastructure that only has to be held under one lease thus saving costs and negating the need to have one lease per operator. The result of consolidation is that a significant number of leases will be terminated and telecom towers decommissioned on those redundant sites.