Dec 27, 2017 - 10:26 AM
There isn't an average revenue share that landowners should accept with lease extensions- every single lease is different. If there is a significant probability of additional tenants, then the landowner might be better off even if they reduce their current lease rate and take a higher revenue share. If there is no possibility of revenue sharing, then you should be negotiating towards the best base lease rate and ignore revenue sharing all together.
In other words, I wouldn't look to the "average" revenue share without looking at all the other factors at the same time. (current rent, escalation, current sublease rights by Crown, length of time to expiration, number of tenants currently on the tower, possibilty of future tenants). I know this isn't the simple answer you are seeking- but there is no right answer to average revenue share for extensions.