Fisher German is one of the UK’s leading specialists in telecommunication sites, acting solely on behalf of landowners
Fisher German’s Telecoms department was set up 12 years ago by Mark Newton, a partner in the Market Harborough office. It is now one of the largest telecoms departments in the industry, acting only for owners of rural and commercial property. The department has dealt with over 3000 telecoms sites throughout the UK – as far north as the Shetland Isles, and as far south as Cornwall.
When the telecoms market emerged, there was a period in the mid-1990s to the early 2000s, when operators frantically built new telecom sites (in order to provide coverage across the UK). This was in line with their licence requirements, and to deal with the capacity issues encountered with the growing number of mobile phone users. With a mature market now in place, telecoms companies build new sites less often. However, upgrading of sites is commonplace. In recent times, there has been a relentless effort by the telecoms companies to save on costs due to a rise in market competition. Since the operational costs of base stations are often one of the operator’s highest overheads, news has been released over the past year regarding the potential sharing of the operator’s infrastructure. Deals have been highlighted between ‘3’ and T-Mobile, Orange and Vodafone. To date, O2 does not appear to be pursuing this avenue.
Shared infrastructure
The culmination of these deals will ultimately lead to a reduction in the number of base stations in the UK, thereby producing cost savings through shared infrastructure for the operators. Mark Newton says: “This may result in up to 30 per cent of telecom sites across the country being decommissioned over the next few years.” The first phase of work in T-Mobile’s and ‘3’s deal is currently being undertaken. Landlords are beginning to be approached by their tenants requesting consent to assign their existing leases into the joint names of T-Mobile and ‘3’. Mark continues: “Where consent is required there may also be the opportunity to negotiate either additional rent or a one-off incentive payment. Subsequently, landlords should seek professional advice if approached.”
Due to the ever-changing telecoms market, Fisher German continues to deal with rent reviews, lease renewals, and removal of equipment. In order to assist these negotiations, Fisher German has developed an extensive database of comparable sites. Finally, landowners should also be aware that many telecoms leases were negotiated during the late 1990s for a 10-year period and are due to be reviewed. This gives landowners an ideal opportunity to review the terms of the site.
For further information or advice contact Mark Newton on 01858 411215, Christopher Hicks on 01858 411202.
Fisher German telecoms in figures
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