These business cases are from actual properties.  Key details have been changed due to confidentiality obligations, such as minor edits to the total number of units and some key payments, but the material details are accurate and are reflective of the negotiations CCNG can do for you.  For a specific “no cost” evaluation of your situation, please contact us on our Contact Page.

*NOTE* – CCNG’s fees are inclusive of the details relayed here. CCNG is paid based on results – by achieving our clients’ goals – so all numbers visible in these examples are after CCNG’s fees have been paid.

New Build – Retail

Ownership is building a new property with 84 units. Multiple providers will be in the building and ownership wants the latest technology to future-proof the building’s wiring.

Deal Points:

  • 15 year term
  • Fiber to the Unit (FTTU) wiring design
  • Exclusive Use of Cable Home Run Wiring
  • Non-Exclusive of Cable Home Wiring
  • Exclusive and Non-Exclusive Marketing mixed
  • Cable Company to provide materials for FTTU
  • Cable Company to pay ownership money

This agreement created immediately higher building value in technology and the additional income was credited against the construction costs to lower the overall project cost.

Renewal – Retail

Ownership has two 20 yr old buildings, combined total of almost 500 units, with each building having a very different clientele. One has a very high cable “penetration” rate, and one is relatively low.  Ownership has excellent relationships with the cable company.

Deal Points in common with both buildings:

  1. 10 year term
  2. Coax design (pre-existing)
  3. Exclusive Use of Wiring
  4. Exclusive Marketing
    1. Property A received a “per door” fee in exchange for these rights
    2. Property B received a quarterly “revenue share” in exchange for these rights.
  5. Complimentary WIFI Hotspots and Video Outlets in the common areas

This agreement resulted in the cable company’s obligation to maintain all wiring for both buildings for the next 10 years. This includes a full rewire if the wiring structure fails.  The combined projected owner compensation is in excess of $300 per unit over the life of the agreement.

Bulk Renewal Scenario:

Ownership has buildings nationwide but only 1 within Washington State. Units are fully furnished and leased to Corporate Customers, and require TV, Internet, and Phone services to be active at all times for every unit.  Ownership was paying 160% higher for amenity video service than the cable company’s allowed minimum rate for these types of properties.

New Deal Points:

  1. Lower Rate
  2. Lower auto-renewals
  3. Better technical equipment and High Definition included
  4. Exclusive Use of Wire and Exclusive Marketing

Ownership will lower its 2017 scheduled payments annually by 13%, 22%, 38%, 38%, and 37% consecutively over the next 5 years.

 

ccng-graph-1-business-case


Retail:

The Home Owner’s Association has over 250 units and over 50% of the residents use the same cable company for service.

Deal Points:

  1. 10 year
  2. Exclusive Use of Wiring
  3. Exclusive Marketing
  4. Cable Company responsible for maintenance of all cable wiring (building was 40 years old at time of agreement)
  5. Cable Company to pay over $30,000 to HOA for access rights

This agreement brought in needed money for the HOA budget and created a reliable plan for the HOA to offset wiring concerns for at least 10 years. Additionally, the Association Manager gained tremendous credibility for finding additional resources and protections for the HOA.

Bulk:

The Home Owner’s Association has 42 units with a very high rate for TV service paid to the cable company. After examining the usage of the owners, it was clear that despite the HOA’s purchase of video service for the owners, most owners needed internet more than TV service.

Deal Points:

  1. Added Internet to TV service
  2. Lowered overall rate
  3. Lowered annual increase
  4. Added High Definition service and more video outlets
  5. Added internet equipment for no additional charge
  6. 5 year term
  7. Exclusive Use of Wiring
  8. Exclusive Marketing
  9. Cable Company responsible for maintenance of all cable wiring
  10. Complimentary Video Service and 3 WIFI Hotspots

Actual rate paid for services by HOA dropped by 5%, 10%, 18%,20% and 21% annually. However, the services increased dramatically.  70% of the owners previous to CCNG paid on average $70 per month for internet services directly to the cable company, and these costs were no longer required, saving internet subscriber/owners individually over $840 per year.

 

ccng-graph-1-business-case

 

Retail

Ownership has one property where clientele desires higher levels of service than Ownership wants to purchase, and has chosen to receive revenue share for TV, Internet and Phone services. This income for less than 300 units averages over $10,000 annually without any owner responsibility for TV services to the residents.  This facility is Independent Living with very independent residents.

Bulk

Ownership has 5 different Assisted Living Centers, with a total combined unit count over 450 units. Prior to CCNG, ownership was paying 176% higher for amenity video service than the cable company’s minimum rate for other properties with the same metrics.

New Deal Points:

  1. Lower rate
  2. Lower term
  3. Lower auto-renewals
  4. High Definition Service added
  5. Exclusive Use of Wire and Exclusive Marketing

Ownership will lower its 2017 scheduled payments annually by 15%, 29%, 48%, 49%, and 50% consecutively over the next 5 years.

 

ccng-graph-2-business-case