Am I getting a fair price

My employer has asked me to handle negotiating a new lease for him and I could really use some strong advice as this is my first time with this type of media lease!! My employer owns the property. A “Large Outdoor Ad Agency” (they will remain nameless) owns 2 billboards, one singlefaced, 7’x25’ illuminated and one double 8’x16’ back to back, not illuminated that sit on this property. These are located in some type of “billboard free corridor” - we found out years ago that they(billboards) were grandfathered in. The current expiring leases are 3yrs/965 yr each. The new lease that was offered was considerably different because it extends the terms from 3yrs to 15yrs and stresses the right to update/upgrade the billboards to a multiface or digital face sign. My employer is not interested in a long term lease. I really want some input on what is a fair price even for a short term lease - should I ask for more? How does having a digital billboard affect the price we are paid? How much leverage do I have with this (as in if I say “no deal, take the structures away” they cannot be put back up by existing company or anyone else)? Please help! I’m losing sleep over this:(

With sincere appreciation for all and any help, suggestions, comment, and direction,

Determining the fair ground rent is fairly complicated, and requires doing some research into that market. We offer this very service on the site “Ground Rent Analysis” and it costs about $195. If you are losing sleep over it, I would definitely suggest you buy this service. We turn them around in 2 to 3 days.

Thanks so much for getting back to me!! I agree - an analysis would take all the guess work out of it!!! I have forwarded your recommendation to my employer !!

With much appreciation (and hopefully a good nights sleep)

Hi Frank,

How do you go about determining a “fair” ground lease rate? What all information do you need and who do we contact to have you provide this service?

Thank you!