CSA Executive Summary (July 23 - August 2, 2025)

Aug 2

Top 10 Critical Developments in the Last 10 Days (July 23 - August 2, 2025)

1. T-Mobile Completes $4.4 Billion UScellular Acquisition - August 1, 2025

T-Mobile officially closed its acquisition of UScellular's wireless operations on August 1, 2025[1][2]. This major industry consolidation directly impacts cell tower landlords in several ways:

What This Means for You: If you have a lease with UScellular, T-Mobile now owns your tenant relationship. While UScellular retains ownership of approximately 4,400 towers and will focus on leasing them out[3][4], T-Mobile gained UScellular's customers, retail stores, and 30% of its spectrum holdings. This could lead to lease renegotiations, potential rent changes, or new lease opportunities as T-Mobile integrates the networks[5].

Key Impact: UScellular customers will initially roam on T-Mobile's network, but full network integration will take time. If you're a UScellular landlord, monitor your lease terms carefully as this transition unfolds.

2. American Tower Reports Strong Q2 2025 Results Despite Profit Decline - July 29, 2025

American Tower, one of the largest tower companies, reported mixed Q2 2025 results[6][7]. Total revenue increased 3.2% to $2.63 billion, but net income fell 58.1% to $381 million due to foreign currency losses.

What This Means for You: Despite the profit decline, American Tower raised its full-year 2025 outlook for key metrics including property revenue (now expected at $10.1-10.3 billion) and adjusted EBITDA. The company noted "extensive midband upgrades" and "increasing densification efforts" contributed to record U.S. services revenue[6].

Key Impact: This suggests continued strong demand for tower space and upgrades, which could benefit landlords through potential lease modifications, equipment additions, or new colocation opportunities.

3. Crown Castle Finalizes $8.5 Billion Asset Sale to Focus on Core Tower Business - March 2025

Crown Castle completed the sale of its Fiber Solutions business to Zayo Group and Small Cells business to EQT for a combined $8.5 billion[8][9]. This transforms Crown Castle into a "pure-play" tower company focusing exclusively on its 40,000+ tower sites.

What This Means for You: Crown Castle is now laser-focused on maximizing value from its tower portfolio. This could mean more aggressive lease negotiations, potential rent increases during renewals, or enhanced services for existing landlords. The company expects 4.5% organic revenue growth in its tower business[8].

Key Impact: A more focused Crown Castle may pursue tower acquisitions or seek to optimize existing leases more aggressively.

4. Congress Passes Spectrum Legislation Boosting Infrastructure Investment - July 3, 2025

The "One Big Beautiful Bill Act" was signed into law, restoring the FCC's spectrum auction authority through 2034 and requiring the auction of 800 MHz of spectrum within eight years[10][11]. AT&T immediately announced it will accelerate fiber deployment by 1 million additional locations annually starting in 2026[12][13].

What This Means for You: More available spectrum means carriers will need additional infrastructure to utilize it effectively. The legislation includes tax incentives for infrastructure investment, potentially spurring more tower construction and upgrades.

Key Impact: Expect increased demand for new cell sites and tower modifications as carriers prepare to deploy newly acquired spectrum.

5. Vertical Bridge Completes $3.3 Billion Verizon Tower Deal - December 2024 (Recently Closed)

Vertical Bridge finalized its massive deal to acquire leasing rights for over 6,300 Verizon towers across all 50 states[14][15][16]. This makes Vertical Bridge the largest private tower owner in the U.S.

What This Means for You: If you had a lease with Verizon for these towers, Vertical Bridge is now your landlord, though Verizon remains as the anchor tenant under a 10-year agreement with up to 50-year extension options[15].

Key Impact: Vertical Bridge describes these as "under-tenanted towers in hard-to-site locations," suggesting potential for additional colocation opportunities and revenue growth.

6. SBA Communications Prepares Q2 2025 Earnings Release - August 4, 2025

SBA Communications, the third-largest public tower company, is set to report Q2 2025 results on August 4, 2025[17]. Analysts project strong fundamentals with $2.74 billion in revenue expected for 2025[18].

What This Means for You: SBA has been actively expanding, acquiring 344 communication sites in Q1 2025 and announcing plans to acquire thousands more Millicom sites for $925 million[19]. This aggressive expansion suggests a healthy tower leasing market.

Key Impact: SBA's growth strategy indicates continued strong demand for tower assets, potentially leading to competitive lease terms for quality sites.

7. AT&T Expands Fiber Network with New Partnership in Arizona - May 2025

AT&T extended its partnership with PRIME FiBER into Arizona markets, targeting Sun City and Peoria communities[20]. This follows AT&T's achievement of reaching 30 million fiber locations in June 2025[21].

What This Means for You: Fiber expansion often requires cell tower backhaul connections, potentially creating opportunities for additional equipment on existing towers or demand for new tower sites in areas where fiber is being deployed.

Key Impact: AT&T's aggressive fiber expansion (targeting 50+ million locations by 2029) will likely drive additional wireless infrastructure needs.

8. FCC Spectrum Auction Authority Restoration Creates Investment Opportunities

The newly signed legislation requires the FCC to auction 800 MHz of spectrum from the 1.3-10.5 GHz bands within eight years[10]. This represents a significant increase from previous proposals and excludes certain bands currently used by military and other services.

What This Means for You: Large spectrum auctions historically drive major infrastructure buildouts as carriers deploy new spectrum holdings. The 800 MHz requirement is substantial and will likely require extensive new infrastructure.

Key Impact: Property owners in areas with limited coverage or high data demand should expect increased interest from carriers seeking new sites.

9. Small Cell Deployment Accelerates with Regulatory Streamlining

The FCC has streamlined environmental and historic preservation reviews for small cell deployments[22][23], and multiple states have enacted permitting reforms to accelerate deployment[24].

What This Means for You: Small cells represent a growing revenue opportunity, particularly for property owners with rooftop space or locations in dense urban areas. These deployments typically have faster approval processes and less community opposition than traditional towers.

Key Impact: The streamlined regulatory environment should increase small cell deployment velocity, creating new lease opportunities for suitable properties.

10. Cell Tower Lease Buyout Market Remains Active

Multiple companies continue aggressive pursuit of lease buyout opportunities, with buyout multiples typically ranging from 10-12 times annual rent[25]. Recent industry transactions, including the Verizon-Vertical Bridge deal, have demonstrated the high value placed on tower assets.

What This Means for You: While buyout offers can provide immediate capital, the strong fundamentals in the tower industry suggest steady rental income may be more valuable long-term. In 2025, new cell tower lease rates range from $1,000-$5,000 monthly for major carriers[25].

Key Impact: Carefully evaluate any buyout offers against the long-term income potential, especially given the strong industry fundamentals and increased spectrum availability driving infrastructure demand.

Key Takeaways for Cell Site Landlords

Industry Consolidation: The T-Mobile/UScellular merger creates the largest wireless carrier by spectrum holdings, potentially leading to increased infrastructure optimization and new opportunities.

Strong Fundamentals: Despite some profit pressures from foreign exchange impacts, tower companies report strong tenant billings growth and optimistic outlooks.

Spectrum-Driven Growth: New spectrum availability will drive infrastructure investment, creating opportunities for new leases and existing lease modifications.

Technology Evolution: 5G deployments continue expanding, with carriers focusing on network densification and small cell deployments in urban areas.

Favorable Policy Environment: Recent legislation and regulatory changes support infrastructure investment and streamline deployment processes.

The wireless infrastructure industry remains robust with multiple growth drivers supporting continued demand for tower space and new infrastructure deployment. Property owners should stay informed about these developments and consider their impact on existing leases and future opportunities.

https://airwaveadvisors.com/blog/2025-cell-tower-lease-buyout-pricing/

Clarence McDowell

CSA Executive Summary (July 23 - August 2, 2025)

Open Weekdays (7am-6pm PST)

Call now on (213) 986-7620 for a FREE Cell site lease review.

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CSA Executive Summary (July 23 - August 2, 2025)

Understand cell tower leasing basics

Open Weekdays (7am-6pm PST)

Call now on (213) 986-7620 for a FREE Cell site lease review.

Or click below to complete to request a phone appointment.