It has been 18 months since the introduction of the Electronic Communications Code 2017 which has seen rents offered for the renewal of site leases slashed by around 90%, with both site providers and network operators at loggerheads.
While the ‘new code’ provides network operators with increased powers, recent cases heard by the Upper Tribunal have criticised the network operators for offering minimal considerations in the £24.00-£50.00 pa range, compared to previous rates of several thousand pounds. Recent industry discussions appear to acknowledge that the current offers are unacceptable to landowners and that they are not ‘a willing seller’ at these rates. The advent of the 5G Network is likely to increase demand for new sites and increase the burden on site providers.
Rostons are acting on behalf of a number of landowners to renew leases in the North West and are actively exploring the valuation process to determine rental levels for new sites to support increases on the minimal figures provided so far, which will undoubtedly be supported as further cases are heard in by the Upper Tribunal.
For further information contact the Rostons office on 01829 773000