If you currently rent out a portion of your land to a telecommunications company to operate a phone mast on, then you might have heard of a mast lease premium.
Although these premium agreements are a superb option for many people currently renting out land for phone mast use, some people may not be clear on what they are or how they can help you.
What exactly is a mast lease premium?
A mast lease premium is a lump-sum payment given to the owner of the land in exchange for the legal right to collect the site rent from the telecommunications company in the future. It doesn’t affect the rights the phone mast operator has in terms of any lease agreements or the ownership of your property.
A mast lease premium is fully recognised by the telecommunications companies and fully legal. The specific stipulations of the mast lease premium are put down in a written and signed contract that is then recorded with the local land registry. All this gives consumers who enter into a mast lease premium agreement confidence that their rights are fully protected moving forward.
What are the benefits of a mast lease premium?
There are many benefits to taking out a mast lease premium agreement for landowners. Firstly, they offer superb security in terms of income on the phone mast. While renting out may seem a safe option, the changing nature of the telecoms industry can mean some phone masts may be decommissioned if not needed. A mast lease agreement avoids this by paying you one lump-sum amount that is yours regardless of what happens after the agreement is signed.
The second great thing about a mast lease premium agreement is that the lump sum you get will be more useful than if you carried on collecting smaller rental amounts from the telecommunications companies. The funds you receive could help your business grow or be invested in, which could see you earn more money in the long-term.
The amount of control this sort of agreement gives is fantastic too. It actually puts you in the driving seat rather than the telecommunications companies. You will be the one deciding what happens and when, rather than waiting for them to decide when your phone mast is not needed anymore.
Applying for a mast lease premium is easy
If you are thinking of applying for this kind of agreement then rest assured, it is easy.
After you’ve contact a mast lease premium company, they should find out the exact situation in regards to your phone mast. Once all the relevant information has been collected, they should then formulate an offer.
Once you have agreed to the terms of the offer, it will then be processed with a due diligence check.
Once everything has been finalised, the funds should be released to an account of your choosing. Usually, this will take place in around 60 days from the start of your application.
Reputable mast lease premium companies provide ongoing support to their customers once a mast lease premium agreement has been reached. They should also be happy to deal with any queries or questions you may have and provide contact details.