Accelerate: Delivering Predictability of the Billboard Lease Expense
Who is Accelerate Investment Partners?
Accelerate owns and manages investments in real property interests under energy and infrastructure locations across the U.S. We have single-source, long-term, dedicated capital for these investments and concentrate on billboard, wireless, and sustainable infrastructure assets such as wind, solar, storage and EV charging projects. Each of our verticals is headed by an individual with decades of experience in his respective industry. We recently announced a partnership with CBRE Investment Management that we are very excited about – https://dallasinnovates.com/acclerate-cbre-investment-management-partner-to-launch-new-strategy/
What is our objective in dealing with outdoor operators:
We want to be a value-added partner to operators and create enduring, mutually beneficial relationships. We achieve that by delivering predictability of the lease expense through consolidation, problematic lessor buyouts, term extensions, and sale-leaseback opportunities. We also work with lessors to maximize the value of their real estate by tapping additional capital through the monetization of qualified ground leases.
What deal structure are we looking for?
Along with ground lease buyouts, we work with operators to fund the conversion or construction of new digital assets. Operators use our capital to fund the deployment in exchange for a ground lease and easement. This allows operators to access capital without impacting their borrowing power or leveraging the company – our capital is not debt. We provide a long-term, predictable lease expense in exchange for the capital needed for the project. Using this method, operators can take a multiyear digital rollout and achieve their goal in less time.
Why work with Accelerate?
Having spent 20+ years working in the billboard industry and running outdoor plants and markets, I believe Accelerate’s objectives run parallel with those of operators. Every time we invest in a billboard lease, we look to extend the term with the current operator. I ask for a minimum of 30 years but will gladly go longer if the operator wishes. The outcome we want is a stable lease that doesn’t renew every five years, with the typical large increases or demands that accompany a renewal contract. The substantial benefit to the operator is the ability to deploy capital elsewhere. Over the last few years, operators have delayed maintenance or projects that are back on the agenda to complete. We look to partner with an operator to find the right capital solution through collaboration. Our desired result is to work in win-win scenarios, and I want our actions to stand to support this.
Check out our website – https://we-are-accelerate.com/