Telecom Mast Site, Lease Renewal Considerations

The Electronic Communications Code 2017 (the Code) in the United Kingdom outlines provisions related to the installation, maintenance, and use of electronic communications networks and infrastructure. Among its various provisions, the Code addresses lease renewal provisions concerning the rights of electronic communications operators (ECOs) to renew leases for the installation and maintenance of their network apparatus on land.

Here are some key aspects of the lease renewal provisions contained in the Electronic Communications Code 2017:

Security of Tenure:

Under the Code, ECOs have a statutory right to renew their leases, providing them with security of tenure. This means that when the lease term expires, ECOs can apply to the tribunal for the renewal of their lease.

Renewal Procedure:

The Code sets out a specific procedure for lease renewal. When an ECO wishes to renew its lease, it must serve a notice on the landowner, specifying its intention to seek renewal and the terms it proposes for the new lease. The notice must comply with the requirements set out in the Code, including the timing and content of the notice.

Negotiation and Mediation:

Following the service of the notice, the parties are required to negotiate in good faith to reach an agreement on the terms of the new lease. If the parties are unable to reach an agreement through negotiation, they may opt for alternative dispute resolution methods, such as mediation, to resolve any disagreements.

Application to the Tribunal:

If negotiation and mediation fail to result in an agreement, either party may apply to the tribunal for the determination of the terms of the new lease. The tribunal will consider various factors, including the value of the land, the terms of comparable leases, and the impact of the electronic communications apparatus on the landowner’s use of the land.

Compensation:

In certain circumstances, the Code provides for the payment of compensation to the landowner in connection with the installation and maintenance of electronic communications apparatus on their land. This may include compensation for any loss or damage suffered by the landowner as a result of the installation or operation of the apparatus.

Code Rights vs. Lease Rights:

It’s important to note that the rights granted to ECOs under the Code are separate from any lease rights they may have under a lease agreement. Even if a lease expires or is terminated, ECOs may still have Code rights allowing them to remain on the land and continue operating their electronic communications apparatus, subject to the provisions of the Code.

In summary, the Electronic Communications Code 2017 provides ECOs with statutory rights to renew their leases for the installation and maintenance of electronic communications apparatus on land. These provisions aim to balance the interests of ECOs and landowners while facilitating the continued expansion and maintenance of electronic communications networks. One very important consideration is ensuring there are adequate lift and shift provisions in any lease, ensuring a landowner can require an operator to relocate their equipment to a different part of the landowner’s property.