Tower owners and AM radio station owners may have more options than it first appears for a joint Return on Investment.
Some owners of heritage AMs are
receiving real estate offers from developers that are so lucrative they
must seriously consider them. In some cases, they’ve decided to sell
because the land surrounding the tower sites and directly under the
structures and even the value of the AM station itself, is worth much
more than the station’s revenue. Two big land deals Inside Towers recently covered are Cumulus-owned KABC/KLOS, Los Angeles and WMAL in Bethesda, Maryland.
Lease, rather than sale, opportunities
exist for AM owners and carriers, though they’re not as common as
arrangements between FM owners and telecoms because of the difficult
engineering involved in preventing AM signal interference. Fletcher
Heald & Hildreth Managing Partner, Frank Montero, tells Inside Towers
“AM stations have been trying to use their towers for supplemental
income by diplexing with other AMs or leasing to wireless carriers like
Verizon or T-Mobile.” Continue Reading