AT&T, PA Town Wrestle Over Tower Lease Rent, Length

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North Coventry Township, in Pennsylvania, currently is locked in negotiations with AT&T over a communications tower the city is leasing to the carrier. The issue at stake is the ongoing revenue for the town created by the lease. The town was originally contacted by a representative of AT&T to renegotiate its previous agreement, which is up for renewal every five years until 2030. AT&T would like to guarantee the length of the lease till 2030, and in return receive a reduction in rent.
The new lease would guarantee the township, which is 45 miles northwest of Philadelphia, at least $377,000 over the next fifteen years, but that amount would be substantially less than what the town could make if it refused to negotiate. At a meeting on Monday night (November 9), Township Manager Kevin Hennessey said, “My feeling is, no, it’s not a good deal,” reported the Reading Eagle.

In contrast, Tim Boddye, a representative of Black Dot Wireless involved in negotiating for AT&T, claimed in a conference call with city commissioners the town has no guarantee that the lease will be renewed in 2020. According to the Eagle, Boddye said changes in technology could make the tower unnecessary for AT&T customers.

Board Chairman Jim Marks, was skeptical of Boddye’s claim. “The best case I can find, we’re at least five or six years from even being close to that. I don’t see any motivation for us to accept that (offer).” Boddye plans to present a new offer to the city this week after conferring with AT&T.

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