I was recently contact by Comcast who wants me to enter a service agreement for one of my parks.
They’re proposing a license fee, with more revenue share based on usage (40-60% cable signup is a 2% revenue share, 60-70% signup is a 4% revenue share, etc).
Has anyone negotiated a contract like this before? I’m sure it varies a lot by region and park, but does anyone with such an agreement know what their typical tenant signup rate is for Cable, Internet, and Phone?
I gave an exclusive for 8%.
Flat 8% seems very good, much better than what Comcast is offering
Do you mind if I ask approximately what usage rate you’re getting?
Are you getting a revenue share from internet sign up as well, or just tv?
I actually just got the slip and direct deposit. Looks like they have 30% of the park. DTV does not count as part of the “cable” exclusive. There’s a high % of hispanics in the community that prefer the DTV satellite option and I didn’t want to disrupt that.
% is of total rev generated.
They pay you a percentage of the tenant’s total bill? Is it for TV, internet and phone or just TV?
There are separate revenue sharing agreements for tv, internet, and phone
Out of curiosity, how many cable companies serve your community?