Verizon leases over 11,300 wireless towers to American Tower for $5 billion
Clients Verizon Communications, Inc.
Jones Day represented Verizon Communications, Inc. with respect to the lease of over 11,300 of its company-owned wireless towers to American Tower Corporation, which also purchased approximately 165 Verizon towers, for a total up-front payment of approximately $5 billion. American Tower will have the exclusive right to sublease space on the towers to third parties and to Verizon, which will sublease its space on each tower for at least 10 years and up to 50 years. American Tower will have fixed-price purchase options to acquire the leased towers based upon fair market values at the end of their terms, which average about 28 years.
In addition to M&A representation, Jones Day provided real estate and tax advice regarding this transaction.