Information for Landowners Considering a Billboard

Our goal is to build as many signs as possible and  we've learned over the years that the deal must be attractive to both  parties.  We use a short one and half page lease agreement, and we pay  rents that are above industry averages.  In fact, the top three outdoor  advertising companies (Lamar, Outfront & ClearChannel) publish their  ground rent costs in their annual SEC filings.  We invite you to put  our offer up against any of the "Big Three." 

We work collaboratively with our landlords to agree on a location that is acceptable to everyone. Our signs are usually placed in un-buildable areas of the lot near property lines or in rough topography. We want the sign to remain for many years to come, and we do this by locating it where it is <b>least likely</b> to get in the way of the primary use of the property. 

On the contrary, our signs help visibility of your property because we regularly obtain permission to keep tree branches and undergrowth trimmed back so that the sign is not blocked. In most cases, the sign is designed to be seen from a distance and when drivers get close enough to view your property, all they see is a small pole about the size of a power pole in front of your property.

Three national players and a handful of mega-regional players operate almost all of the billboards in the United States.  However, they almost exclusively operate signs purchased and consolidated from smaller firms.  The time, skill and uncertainty involved in the permitting process keeps most large companies away from developing new billboard sites.  Most of the permits for new billboards are pulled by smaller companies like Atlantic Billboards.

Our ground leases are different than normal commercial leases because we are creating the value by obtaining the necessary permits.  In order to turn a profit, we need a longer lease to allow us time to payback the cost of permitting and building the sign.  We find that most landowners forget the sign is there except when they get our check in the mail.

The ground lease runs with the land and the new  owner takes over your position in the ground lease. Some property owners  create a permanent easement so that they may sell off the sign revenue  while they still own the property or keep the sign revenue even after  they no longer own the property.