Billboard Easement Valuation (Billboard Insider)
A permanent billboard easement is worth 6-12 times the current billboard rent or projected billboard rent relating to the easement. Insider saw lots of 6X transactions involving cash-strapped landlords during the last recession. A 6X multiple is reasonable for an easement relating to an unconstructed billboard due to uncertainty about performance. The average for an easement under a mature billboard is more like 8-10X annual billboard rent in today’s market. 10-12X may be the multiple in an urban market with growing billboard rents and a moratorium on new billboards. […]
Wed, Mar 21, 2018 at 8:05 PM