Posts in:August, 2014

Wireless Carrier Updates & changes to Cell Site leases

Posted August 25, 2014 by admin

Verizon Wireless has spend 28% more in 2014 v. 2013 in the first quarter. This has helped them remain the leader in LTE coverage. Currently they cover over 300M potential customers. AT&T Wireless covering an estimated 280M potential customers, also spend aggressively. At an estimated $21B for the year and $5.8B for Q1. AT&T Wireless is busy integrating the Leap Wireless customers into the network. Sprint also has been trying to upgrade both it’s network and CEO, has been trying to fix the lack of LTE coverage. Currently they cover 250M potential customers. Sprints downfall always has been their lack of LTE coverage. I expect their new focus to be network build-out and growing their customer base now that they Continue reading…

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American Tower & Crown Castle REIT status being questioned by U.S. Government

Posted August 21, 2014 by admin

Recently, the House Ways and Means Chairman Dave Camp (Michigan) has challenged the provision that allows REIT shareholders to not pay taxes on capital gains until it sells or distributes assets. This would have a direct impact for the two largest tower companies; American Tower (AMT) & Crown Castle (CCI) currently REIT’s. They would be required to pay the same tax rate as their ordinary income if this new law passes. So what does that mean for current wireless lease holders with a cell tower or rooftop cellular sites? If the tower companies tax rate increase this would mean a reduction in price for both wireless lease rates as well as the overall value of the property. Pair this along with Continue reading…

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