HomeMy WebLinkAboutUnison Site Management - Crown Castle Tower - 2014(tuNtsoru))
April 15,2014
City of Fresno
c/o Fresno Fire Dept.
-Chief Kerri L. Donis
^ ã9tl H Street
fr öFresno, CA 93721
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É-hı ö Sire #:255798à
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CITY CLERI(, FRESNO CA
www.unisonsite.com
The offer is subject to due diligence and is based on the
assumptions listed below:
o Crown Castle tower
o Clearwire and TBD as tenants
o $ 1,65 I .00 current monthly rent
o $ 1,65 I .00 purchased monthly rent
o CPI 5 year term (Crown Castle) escalation
Dear Chief Donis:
Thank you for your interest in our cell site lease conversion program. After analyzing the information you provided, Unison is
prepared to offer you a lump sum of $203,073 if the offer is accepted by May 23,2014.
Our offer is to purchase a defined easement for the cell site. Unison will receive the currently scheduled rent sheam (including
escalators) for the term of the easement, and agrees that for all rent over and above this amount received on the cell ,i", Sit"
Owner will collect 50%o andUnison will collect 50%. The final amount of our offer is subject to due diligence and
confirmation of your monthly rent escalators and site tenants.
The appeal ofthe Unison deal:
o Convert your lease into cash: Unison Site Management, L.L.C. is rapidly building a nationwide portfolio of cell site
leases. Our program allows you to convert your lease into hard cash on a potentiaily tax efEcient basis. The telecom
industry is changing rapidly, with three major mergers taking place in the- last year alone, and we encourage you to
understand and consider your options now.
o Secure your asset: With our lump sum cash offer, the value of your lease asset will no longer be dependent on future rent
payments. This payment is yours regardless of what happens to your site in the future-even if you sell the property. you
can invest your capital payment in real estate, stocks, bonds, or your own business.o Receive substantial tax savings: For the typical site owner, Unison's lump sum program is taxed at lower capital gains
rates as opposed to ordinary income rates on rent income. This can reduce taxes by up to 50%. A Starker 1031 Exchãnge
election may allow you to defer taxes altogether while investing the Unison proceedi in another real estate asset. please
consult your financìal advisor to determine your specific tax situation.
If you have any questions, please contact me directly aI (917) 267-1359.I look forward to discussing our offer with you at your
earliest convenience.
Unison Site Management
Phone: (212) 599-2444 . Fax: (212) 7554080
IL
(tuNIson))
340 Madison Avenue, Suite l2F, New York, NY 10123 www.unisonsite.com
Apnl 15,2014
Terms of Agreement
* Our signatures below acknowledge that these are the business terms upon which this transaction will be completed. However, the terms ofthis agreement are subject to du n of all required
documentation, including but not li and Carrier(i). By
signing and dating below, Unison of these business
terms. The terms of this agreement extended by mutual consent.
* When used herein, the terms Unison and Site Owner shall refer to Unison and the Site Owner and their respective successors and/or
assigns.
Site #: 255798
Site Address: 815 E. Nees Avenue (Fresno Fir, e Station #13), Fresno, CA 93j20-2102
Purchaser: Unison Site Management (,.Unison,,)
Seller ("Site Owner"): City of Fresno c/o Fresno Fire Dept.
Tenant/Carrier(s): Crown Castle tower with Clearwire and TBD as tenants
Current Rent: $1,651.00
Purchased Rent: S1,65 1.00
Escalator: CPI 5 year term (Crown Castle)
Term of Easement Purchased: Perpetual
Easement Area: Ground space around the tower described by existing wireless service provider leases including equipment footprints and
access and utility easements.
Purchase Price: $203,073
The purchase price shall be the gross purchase price from which will be netted:o Pro-rated rentfor the remainder of the month of closing plus the next two months (Site Owner shall be entitled to cash and retaìn
the rent check(s) for the pro-rated periods);
c Title company escrow, search and premiumfees for the Owner'sform policy to be provided to Unßon; ando Transfer taxes (ifany).
Other Transactional Terms: Unison will receive the currently scheduled rent stream (including escalators) for the term of the easement,
and agrees that for all rent over and above this amount received on the cell site, Site Owner will collect 507o and Unison will collect 50%o. In
addition, Unison agrees to pay a onetime expense fee ofup to $2,500 to cover the Site Owner's closing costs.
Offer Expiration Date: May 23,2014
* Site Owner agrees to provide Unison with all due diligence items listed under the Document Checklist on the following page at the point of
execution of this agreement by the Site Owner. Site Owner also agrees to provide comments (if any) to the Easement anã Assignment
agreement within 14 days of the execution of this agreement. The terms of this offer will expire if such comments are not proùded within
14 days of the execution of this agteement by the Site Owner. As noted on page 2hereto, if lhere is a mortgage on the property, Site Owner
agrees to obtain a Non-Disturbance Agreement ('lfDA') from the lender. If the NDA is impossible to obtain;site ownãr mayióqu"rt u rirk
assessment to determine whether Unison will close without the NDA. If the NDA requirement is , the purchase price will
automatically be by at least 10 times the monthly rent at closing.
á*fu s-/¿/Z
Sité Owner
Unison Site Management
Phone: (21 2) 599-2444 . F ax: (212) 7554080
(tuNtsor.l))
W Full copy of each Telecommunications Tenant Agreement, including any addenda, amendments,
"(L(
assignments, notice or exercise letter
Commencement date verification of each Telecommunications Tenant Agreement and copies of at least the last three
months' rent checks
All available correspondence from Telecommunications Tenants
Proof of Site Owner's existence and authority, as applicable: (Entity Documents - Corporate filing receipt, Certificate
of Good Standing, A¡ticles of Incorporation, Articles of Formation, By-laws, Operating Agreement; Partnership
Agreement; Trust Agreement; Probate documents, Death Certificate; Divorce Decree; Property Management
Agreement)
Deed I
Surveyofproperty (r^.¡S-^r É O$fm¡ç-
If there is a mortgage on the property, Site Owner agrees to obtain a Non-Disturbance Agreement from the lender
The following documents will substantially expedite closing:
Construction Drawings/Site Plans for the Telecommunication Tenants' installations
Title Report or Title Insurance Polìcy
Existing Environmental Reports, if applicable (Phase I or 2 or comparable)
Current Tax Bill for property [r(¡¡¡ pr¡)
Appraisal or Fai¡ Market Valuation (particularly if Lender may not easily provide Non-Disturbance and Attomment
Agreement)
Site P
340 Madison Avenue, Suite 12F, New York, NY 10173
Document Checklist
LANDLORD ENTITY TAX ID # oT SSN:
I agree to provide my Unison representative with the following information required for closing:
www.unisonsite.com
1.
2.
nw
úTW#
^R
Date signed:
Site Owner Contact information
Name: Bruce Rudd
Email: cheryl . carlsonGf resno. gov
( contact )
ldttorney Contac t Information
Name: Brandon M. Collet, Deputy
phone: 5â9=62ta7,5OO
Fax: 559-488-1084
Email: brandon.collet@fresno.goy
Mortgage (ifnone, please indicate below)
Mortgage Amount:
Lender Contact:
Phone:
Fax:
I 559 | 671 -4002
( 559 ) qge-qzet
LenderName:
Phone:
Fax:
Email:
Unison Site Management
Phone: (212) 599-2444 ' Faxi (212) 755-4080
Cheryl Carlson
From:
Sent:
To:
Subject:
Sherrie Badertscher
Thursday, April 23, 201-5 11:39 AM
Cheryl Carlson
Agreement Approved by Council on May 22,20L4 as item lClUnison
Hl Cheryl,
Council approved a purchase of a defined easement for the cell site at FS #13. At this time, the clerk's office has not
received a copy for attesting and filing. Would you please let me know the status of this agreement?
Thanks,
snefrie L. Baf,erfscner
cily Reoords $peciali$f
0ily 0l [resn0, 0ily üerk's 0llice
ll9-621-7614