Over the past ten years, the Consumer Price Index (CPI), which measures inflation, has averaged 2.3% per year. This means that to sustain the value of your lease, you would need to receive annual escalation of at least 2.3%.
We recommend that landowners consider asking for a signing bonus, attorney’s fees, or options payments. However, don’t be greedy when asking for them. You don’t want to scare away your potential cell tower tenant and a lucrative lease just because you pushed for an extra $1,000 up front.