Frequently Asked Questions    |    Ground Lease Buyouts

About SBA About SBA
Operations & Services Operations & Services
Site Leasing Site Leasing Site Leasing
Land Owners Land Owners
Tower Acquisitions Tower Acquisitions

Land Owners Hotline

Frequently Asked Questions

As your current business partner, SBA has all the documents needed to expedite the closing process and ensure you receive your money quickly - often within 45 days from receipt of a fully executed Letter Agreement. We also pay all closing expenses associated with a lease restructure, exclusive of any advisory fees for your personal attorney or financial advisor.

We conduct our due diligence process and inspect the property, order a survey, and handle the preparation of all closing documents. Upon receipt of fully executed closing documents, you will receive your lump sum payment within 24 hours. While the lease conversion is being completed, you continue to receive your rental payments uninterrupted.

If you currently lease land to SBA, you may have some of the following questions:

Why are you contacting me now if my lease runs for several years?

SBA likes to keep the lines of communication open. We value our land owners and realize opportunities arise unexpectedly and want to ensure you know all the options available to you at all times. In the event you are contacted by anyone else, we want you to know that, without exception, SBA will make you a better offer than other firms. We have your best interest in mind and appreciate our long-standing relationship.

Will I have to pay to get my lease converted?

No. We never charge for a consultation and formal review of your lease conversion options. SBA embraces the opportunity to assist you whenever you are ready. Call us today and learn how easy it is to convert your lease into a secure lump sum investment opportunity.

What is a Perpetual Communications Easement?

A Perpetual Communications Easement gives SBA the right to use your land for a specific purpose for an indefinite period of time. You are already familiar with access easements granted for utility purposes. The easement would allow us the opportunity to access and operate the wireless communication site as we already do today. You may benefit from long-term capital gains tax advantages or defer taxes indefinitely with a 1031 "like-kind" exchange. You continue to own your land, and in the event that SBA determines they no longer need to utilize your land for the tower, the perpetual easement would cease and the land would be free and clear.

What do I pay for a lump sum transaction and when do I receive the funds?

Because SBA has most of the documents needed already as well as all the knowledge of the present terms and conditions of your lease agreement to complete the transaction, a lump sum offer can be accepted upon receipt of a fully executed Letter Agreement and typically will close 30-90 days thereafter. We pay all closing expenses associated with a lease restructure, exclusive of any advisory fees for your personal attorney or financial advisor.

Are there any hidden fees I need to be concerned with?

No. The offer we initially commit to on a fully executed Letter Agreement is the amount you net at closing, so you are not burdened with added expenses or hidden fees.

Can I accept a lump sum offer if I have a mortgage on the property?

Yes. When you have a mortgage on the property we request a simple Non-Disturbance Agreement from your lender. This one-page form releases the rent payments on the site from the bank's security on the property. We routinely request this information from many lenders and will assist you in obtaining this documentation.

With a lease extension or easement, can I still sell my land or transfer title?

Yes. If you sell your property or transfer the land, the lease terms and conditions or easement remain. The new owner would simply need to abide by the terms and conditions of the lease or easement until the expiration date.

Are there any factors that can delay my lease conversion process?

There are a few factors and unresolved issues that may inhibit control over the property rights temporarily until they can be resolved. Some include divorce, liens (commercial or judgment), estate issues or incomplete title whereby there is inadequate authority to act on behalf of the formal owner of the property. In these cases, we work very closely with you to address these situations as quickly as possible to complete the conversion. We have the most experience in the industry in resolving these issues quickly and economically.

Can another company place additional antennas on the tower and increase the value of the cell tower?

As the owner of the tower, SBA is the only company that can negotiate agreements to place additional antennas on your property. Be careful when contacted by others. Outside investment groups may contact you using questionable sales tactics in an attempt to buyout the rent payment stream since they do not own the tower (SBA does) or the land (you do).

Is it possible to spread out a payment over a few years?

Yes. As your business partner, SBA is committed to helping you structure a transaction that meets your cash needs. We can offer you the best solutions, coupled with a smooth transaction process, so you may capitalize on a payment structure that meets your financial goals.

What are some of the options I may consider in order to receive a lump sum payment in lieu of rent?

SBA values our relationship and will tailor a lease restructure to meet your needs. If you prefer to benefit from long-term capital gains tax advantages or real estate tax deferred investment opportunities through a 1031 “like-kind” exchange, we can create a perpetual easement over the land we currently lease or simply purchase the land fee simple. A long-term lease amendment may also provide the lump sum payment you need today and possibly a partial rental income stream for years to come. Always consult with your tax or financial advisor before making any tax decisions.

How can I get more information about the various options SBA offers?

Your SBA Real Estate Specialist is just a phone call away and can answer questions about your lease and discuss all the various options available. Our specialists can review your lease with you and offer the best solutions, coupled with a smooth transaction process so you can capitalize on a lump sum payment as soon as possible. The industry is constantly changing and you can count on SBA to already know the details of your unique lease and property. SBA will ensure a smooth transaction process for you.

Contact us for more information.
Privacy    |    Terms of Use