UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
ACT OF 1934.
Date of Report September 26, 2000
SBA COMMUNICATIONS CORPORATION
------------------------------
(Exact name of registrant as specified in its charter)
Florida 000-30110 65-0716501
- --------------------------------------------------------------------------------
(State or other jurisdiction Commission File Number (I.R.S. Employer)
of incorporation or Identification No.)
organization)
One Town Center Road, Boca Raton, Florida 33486
- --------------------------------------------------------------------------------
(Address of principal executive offices) (Zip code)
(561) 995-7670
- --------------------------------------------------------------------------------
(Registrant's telephone number, including area code)
Item 5 Other Events
SBA Communications Corporation announced today that they will
acquire between 213 and 275 existing TeleCorp towers and
become the exclusive build-to-suit provider for TeleCorp PCS
for a minimum of 200 and up to a maximum of 400 new towers.
The existing towers are located in TeleCorp's markets in
Louisiana, Tennessee, Mississippi, Missouri, Arkansas and
Puerto Rico. SBA will pay TeleCorp $327,500 per tower, and
TeleCorp will lease back space on the towers for an initial
monthly rental fee of $1,200 per site under a long term lease
agreement, with increases in subsequent years. The towers also
currently produce approximately $1.5 million in annualized
rental revenues from other tenants.
Under the build-to-suit agreement, a minimum of 200 tower
facilities will be constructed for SBA's ownership across
TeleCorp PCS' future service area - Louisiana, Mississippi,
Puerto Rico, Arkansas, Texas, Tennessee, Kentucky, Missouri,
Indiana, Illinois, Iowa, Michigan and Wisconsin - over the
next three years, pending the approval of its acquisition of
properties in Iowa and Wisconsin. TeleCorp will execute long
term leases to place its wireless network equipment at each
site and pay SBA an initial monthly rental fee of $1,300 per
site, with increases in subsequent years. The first 200 tower
facilities will be built under the new agreement, and up to
200 additional tower facilities may be constructed under the
build-to-suit agreement previously announced by SBA on April
26, 2000.
The tower acquisition is subject to due diligence and other
contingencies, and is anticipated to be completed early in the
first quarter of 2001. The new build-to-suit agreement is
contingent on the closing of the tower acquisition.
TeleCorp PCS, Inc. has licenses to serve approximately 16.7
million people, and provides its SunCom digital wireless
service in the following 36 markets: New Orleans, Baton Rouge,
Lafayette, Houma, New Iberia, Thibodaux, Hammond, Alexandria
and Lake Charles, Louisiana; Memphis, Jackson and Dyersburg,
Tennessee; Oxford, Mississippi; Little Rock, Hot Springs,
Russellville, Fayetteville, Fort Smith, Blytheville, Pine
Bluff and Jonesboro, Arkansas; Beaumont, Texas;
Columbia/Jefferson City,Missouri; Evansville, Indiana;
Concord, Manchester, Portsmouth and Nashua, New Hampshire;
Worcester, Cape Cod, Martha's Vineyard and Nantucket,
Massachusetts; and San Juan, Ponce, Mayaguez, Humacoao and
Arecibo, Puerto Rico. TeleCorp is headquartered in Arlington,
Virginia. More information on the company can be found on the
Web at http://www.telecorppcs.com.
Item 7 Financial Statements and Exhibits
(c) Exhibits
99.1 Press release dated September 18, 2000
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
September 26, 2000 /s/ Pamela J. Kline
--------------------
Pamela J. Kline
Chief Accounting Officer