Crown Castle / American Tower / SBA Buyout: Defer the Tax on Your Tower Lease
Crown Castle (NYSE: CCI), American Tower (NYSE: AMT), SBA Communications (NASDAQ: SBAC), Vertical Bridge, Landmark Dividend, Tillman Infrastructure, and Diamond Communications are the cell tower aggregators. They periodically offer property owners lump-sum buyouts to convert ground leases into perpetual easements.
Typical buyout: 15-25x annual rent. If you collect $2,400/month ($28,800/year), the offer may be $500K-$700K. Take it as a lump sum and 30-40% goes to tax in year one.
The math: $600K cell tower easement buyout
Crown Castle / American Tower / SBA deal mechanics
- Easement vs lease character. The buyout typically converts a month-to-month or annual lease into a perpetual or 99-year easement. The gain is capital gain on the sale of a partial land interest.
- §121 primary residence exclusion may partially apply if the tower is on your residence.
- Revenue share clause buyout. The value of what you give up should be allocated separately.
- Multi-carrier subleases. If your tower hosts multiple carriers, expect a valuation premium. Same §453 mechanic.
- State / local zoning approval affects closing timing, not §453.
What is the tax bill on your sale going to be?
Send me the sale price and rough basis. Within one business day I'll email you the actual number and the Seller's Guide to §453. If it doesn't fit your deal, I'll tell you that plainly.
No retainer · no obligation. Hans Goldstein, a licensed insurance agent (CA Insurance License #4273294), will contact you and may discuss insurance products, including annuities.
When this fits
- $250K+ buyout (carrier minimum for meaningful §453)
- You don't need lump sum immediately
- Major aggregator (Crown Castle, American Tower, SBA; all have done §453)
How I work
Hans Goldstein, EA, IRC §453 specialist. Admitted to practice before the IRS. Placements with highly rated life insurers (A or better by A.M. Best or equivalent) in all 50 states. Free fit-check.
Find out what your sale is really going to cost you in tax, and what you can do about it
No retainer. On a funded structure, the insurer pays a one-time commission of about 4% of the amount structured to the brokerage firm that places it (Hans’s share is about 2.4%; no trail). It is built into the annuity pricing, not a separate fee.
Find out what your tax bill actually looks like before you sell, including the parts your CPA may not raise until the return is already being prepared.
Most people find out what they owe after the sale closes, when nothing can be changed. A short conversation now tells you the number, which layers apply to your situation, and which options are still open while the sale is still in front of you.
- What you will actually owe: federal, the 3.8% surtax, recapture and your state
- Which of those layers you can still do something about
- Whether spreading the sale changes the number in your case
Hans Goldstein · 213-414-2808 · Hans Goldstein: Tax & Exit Planning · This is an educational conversation, not tax advice. Bring your CPA in before you file.
Hans Goldstein, a licensed insurance agent (CA Insurance License #4273294), will contact you and may discuss insurance products, including annuities.
Educational. Not tax or legal advice. Goldstein & Co. is not affiliated with or endorsed by Crown Castle Inc., American Tower Corp., or SBA Communications.
Run your specific numbers
The calculator runs your sale through real 2026 federal + state tax brackets and shows §453 savings vs lump sum side-by-side.
Run the calculator → 213-414-2808