CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Adopt the resolution approving a lease agreement between the City of Naperville and New Cingular Wireless PCS, LLC regarding communications tower at 1301 Clyde Drive (requires seven positive votes)
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DEPARTMENT: Legal Department
SUBMITTED BY: Jennifer Bonner, Senior Assistant City Attorney
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
On May 6, 2025, City Council approved construction of a new freestanding telecommunications tower at 1301 Clyde Drive, located at the southwest corner of 75th Street and Clyde Drive. The tower was designed to accommodate multiple wireless carriers, ensuring long-term collocation opportunities. Following construction of the tower and refurbishment of the equipment shelter, T-Mobile conveyed its interest in both structures back to the City, making the City the owner of the tower and equipment shelter.
DISCUSSION:
New Cingular Wireless PCS, LLC (AT&T) is seeking to collocate on the City-owned tower. AT&T’s installation would include antennas and associated equipment at a monthly rental rate of $4,200, with rent increasing by 3% annually beginning on the first anniversary of the commencement date. Consistent with the City’s prior agreement with T-Mobile, AT&T will also pay one-third of the total actual costs associated with construction, permitting, and installation of the equipment shelter. The lease provides for an initial five-year term, followed by up to four automatic five-year extension terms under the same conditions unless AT&T provides written notice of its intent not to renew at least sixty (60) days before the end of the current term. If AT&T remains in possession of the premises after the lease expires, the tenancy will convert to a month-to-month holdover arrangement subject to all existing lease terms.
FISCAL IMPACT:
Corresponding increase in tower lease fees.