American real estate solution and services company Black Dot Wireless is to expand its operations into Europe, partnering with Galway-based property consultancy Tiger International to acquire the income rights on telecoms mast sites around Ireland.
There are an estimated 6,000 mobile mast and antennae sites in Ireland and about half of these are situated or installed on privately owned properties and farms, with average rental of €5,000-€10,000 per annum.
Tiger International’s managing director Chris McGrath said Black Dot Tiger intends to approach landowners and property owners right away to purchase these leases at a premium to their actual worth.
"The beauty of this model is that the landowner retains the property and realises an upfront income stream straight away. For example, one hotel that we approached would get 25 per cent of the price of the hotel from selling the mast income rights up front. That is a good option in this indebted time as it gives them immediate access to funds."
'Good option'
Backed by a US hedge fund, Black Dot Tiger hopes to spend €20 million over 12 months acquiring the income rights to masts and antennae sites. "Selling the rights won't appeal to everyone but it is a good option and an alternative. While it is difficult for individual landowners to negotiation with mobile operators, we would be able to do so as a portfolio."
