SBA, Telecorp PCS Enter into Build-to-Suit Agreement

Tower developer SBA Communications (Boca Raton, FL) and AT&T Wireless affiliate TeleCorp PCS Inc. (Arlington, VA) have formed a "build-to-suit" agreement for up to 200 tower facilities covering a number of strategic markets in the United States. The tower facilities will be constructed for SBA's ownership across TeleCorp's domestic SunCom service area, including Arkansas, Illinois, Indiana, Iowa, Kentucky, Louisiana, Michigan, Mississippi, Missouri, Tennessee, Texas, and Wisconsin over the next two years. TeleCorp will execute long-term leases to place its wireless network equipment at each site and pay SBA an initial monthly rental fee of $1,100 per site.

"We went through a detailed review of providers, and SBA presented the most compelling, creative and convincing arrangement," said Gerald T. Vento, TeleCorp chairman and CEO. "By striking this partnership, it allows us to focus our time and capital resources on the core of our business, yet still have the security and confidence that our sites will be ready on time and on budget."

Edited by Ellen Jensen