Miscellaneous Agreements for Wireless Sites
This module focuses on miscellaneous agreements for wireless sites that support, supplement, or are used in lieu of space leases or purchase contracts. The need for any of the miscellaneous agreements discussed in this module doesn’t necessarily exist on any given site. If any of these miscellaneous agreements are utilized, it is because of the nature of the property ownership, construction requirements, or the results of due diligence efforts. For instance, title policy exceptions in the form of mortgages, liens, or severed mineral rights necessitate supplemental agreements or consent to ensure the uninterrupted operation of wireless facilities. Agreements used to remove a risk due to title policy exceptions include subordination, non-disturbance agreements, waivers, and consents. The use of licenses and permits is connected to the property ownership entity and how it grants space rights. The nature of the proposed site design can dictate the use of easements, road-use agreements, or construction agreements. The property ownership entity may rely on licenses or permits instead of leases or purchase contracts to grant space rights. In any event, it is important to know about miscellaneous agreements that might be a necessary part of any given wireless facility deployment project.
Temporary Site Agreements
As mentioned previously, temporary agreements don’t require extensive due diligence. They merely document a simple agreement made with the property owner to occupy the space for a short time frame. In case an issue arises during the operation of the temporary installation, personnel manning the temporary equipment facility benefit from documentation that demonstrates that the property owner and jurisdiction know about and have authorized the temporary use. For more about temporary use agreements see Module 4 Wireless System Design; understand Module 7 Search Area Assignment; and see Module 21 Initial Space Rights.
Easements
There are several different types of easements. These include appurtenant easements, gross easements, miscellaneous specialty easements, longitudinal and crossing easements, and easements underlying wireless facility ground space leases. Since the term “easement” can mean different things in wireless site development, it is useful to understand the different contexts in which the following five types easements might exist. read more…
Licenses
As discussed in Module 22 Leasing Concepts, the term “lease” is used interchangeably with the term “license” in many conversations involving wireless facility space rights. Some property owner entities are not willing to grant wireless space rights leases but will grant a license for wireless facilities space. While licenses allow the licensee to utilize a space or facility, a license is not considered interest to real property like leases, easements, and purchase contracts. For instance, operators can’t obtain title insurance to guarantee any real property interests with only a license agreement. Licenses are revocable. Leases, easements, and purchase contracts aren’t revocable without cause and legal action. A license represents lower quality real estate entitlement than is desirable, yet at times the license is the only entitlement available.
Government Permits
Permits referred to in this chapter are not the same as those discussed in Level VI, Local Permit Training- Local Permit Rights. Rather, this reference to permits applies to government entities such as the United States Forest Service (USFS or Forest Service)1 and the Bureau of Land Management (BLM), which grant permission for wireless facility development on government land. Forest Service and BLM permits for wireless sites are called electronic use permits, which are a form of special-use permits. These permits include both agency permission and permit terms for each use approved. read more…
Joint-Use Road Agreements
Access to some sites requires a separate agreement for road construction or maintenance. The road may be used jointly with other entities. If there are enough users of a private road, a user group might be formed. Ongoing annual maintenance costs may be shared by the members of the user group. read more…
Franchise Agreements
Franchise agreements are commonly used by municipalities to issue rights to local utilities and cable television companies in the community. Cable television franchises are able to construct, operate, and maintain a cable system underground and aboveground on poles within the public right-of-way for the provision of communications services to the community. Without local authorization to construct, operate, and maintain a cable plant on municipal rights-of-way it would not be possible to offer cable or landline telephone services to all residences or businesses in a community. read more…
Pole Attachment
Pole attachment rules were mentioned in relation to microcell sites in Module 4 Wireless System Design. Pole attachment rules were originally established by the Federal Communications Commission (FCC) for cable television systems to access poles owned by utilities and placement of cable in public rights-of-way. The rules now extend to other telecommunications service providers. The definition of pole attachment has expanded to include “any attachment” to a “duct, conduit, or right-of-way owned or controlled by a utility.” The FCC is responsible for regulating, where states don’t, the rates, terms, and conditions for pole attachments to ensure that such rates, terms, and conditions are just and reasonable.1 read more…
Construction Agreements
When negotiating a space agreement for wireless facilities, it may be necessary to offer to fix an existing condition on the property in the process of site construction and installation. The existing condition may be in, adjacent to, or somehow related to the proposed lease space. A construction agreement separate from the space rights agreement may be appropriate. read more…
Subordination and Non-Disturbance Agreements (SNDAs)
Don’t confuse a non-disclosure agreement (NDA) with a subordination and non-disturbance agreement (SNDA), which may also be referred to at times as an NDA (non-disturbance agreement). Non-disclosure relates to treating proprietary information in a confidential manner as discussed in Module 3 Site Acquisition Contracting. Non-disturbance is an agreement by a third party to not interfere with an agreement between two other parties. Subordination agreements were discussed in Module 22 Leasing Concepts.
An SNDA keeps wireless real estate entitlements in conjunction with space rights agreements secure whenever a third party’s property rights represent a risk to the intent of the space rights agreement. Examples of situations where an SNDA may be necessary include the existence of property owner mortgages, subleasing from a master tenant subject to an underlying property owner, pre-existing leases on the property, oil and gas leases, severed mineral rights, and spousal rights to an individual property. read more…
Non-Disturbance Waivers and Consent
Waivers and consents may substitute for non-disturbance agreements or may be a part of a non-disturbance agreement, where a third party agrees to waive its rights to a property or consent to regarding a proposed wireless facility space rights agreement. When it may be necessary to subordinate the interests of a wireless space agreement to a mortgage, a non-disturbance agreement, waiver, or consent may satisfy the facility developer’s tolerance for title risk. A wide variety of reasons and methods to implement non-disturbance agreements, consents, and waivers exist depending on the circumstances. read more…
Mineral Rights and Mining Claims
Mineral rights are subsurface rights to real property and are considered superior to surface rights. The exercise of mineral rights, however, may be limited by state law or local zoning ordinance. The presence of residential dwellings on a property, for instance, may limit the interference mineral rights may cause to the property surface.
Don’t be surprised by the shape of mineral claims, also known as mining claims. They are often long, narrow parcels of land. In the county records mining claims often appear to cross over each other, something you don’t see with most parcels on flat land real property tax maps. Mining claims are designated with county parcel identification numbers yet also possess names and mineral survey numbers. read more…
Amendments
The need to amend agreements between wireless facility tenants and site owners or property owners arises primarily through antenna equipment moves, additions, reductions, or other changes, such as replacements. These might be related to technology or maintenance. Lease amendments were discussed as a milestone pay point regarding site modifications in Module 2 The Role of Site Acquisition, as part of the collocation modification process in Module 17 Collocation Applications, and regarding collocation modification amendments in Module 23 Collocation Agreements.
Lease amendments are necessary if the wireless facility operator desires to substantially change the site space agreement. The proposed site modifications are analyzed with respect to the existing agreement. Amendments may be prompted by a need to increase tower height, attachments on the structure, ground space, or building space, or to replace equipment. Amendments are also required to renew space agreements when they would ordinarily expire. read more…