LMA with purchase agreement

[djrin76574]

I have been attempting in entering into an LMA with a possible purchase agreement. I have spoken to many brokers. I do have cash in hand and I have noticed that the majority of the brokers out there only want the BIG deals! Maybe this blog can help me with my accomplishment. Here is what I'm looking for;

Market 100-200 pop
FM Signal covering Hispanic pop
5k to 10k month
35K down - only if purchase agreement is in place.


If you or anyone you may know have a station available with this criteria please contact me. Thanks for your time.
[email protected]

 

[Anonymouse]

I wonder if this guy ever got his LMA, out of curiosity.

 

[bturner]

I think it is pretty natural for the Brokers to want the big deals. Real Estate salespeople would rather sell the $500,000 home than the $50,000 home.

It might simply be commission. The commission they'd make means they cannot spend lots of time on your quest. I knew a guy that bought a dark station and paid the broker more in commission than he paid for the station. All of that was set in the first conversation with the broker as the broker detailed all the work he would do to close the deal. Simply put, a brokker doesn't sell many stations a year so when a sale pulls through it has to have a good commission check to keep a roof over the broker's head.

Many times a LMA with option to buy is a better deal than buying. In my market it is actually cheaper to lease a station than to buy one. In my thinking, a LMA lets you kick the tires in a market and develop yourself to see if owning a station in the market is the best option.

 

[Jay Walker]

I have been attempting in entering into an LMA with a possible purchase agreement. I have spoken to many brokers. I do have cash in hand and I have noticed that the majority of the brokers out there only want the BIG deals! Maybe this blog can help me with my accomplishment. Here is what I'm looking for;

Market 100-200 pop
FM Signal covering Hispanic pop
5k to 10k month
35K down - only if purchase agreement is in place.


If you or anyone you may know have a station available with this criteria please contact me. Thanks for your time.
[email protected]

The numbers you are quoting for down payment and monthly payment are way too low for an FM stick in the population range you're seeking. The money you are offering per month is a figure many FM stations easily make sales wise. Even $3,000 a week, $12,000 per month, is roughly 300 spots a week using typical $10 rates which equals around 3.5 spots per hour 12 hours a day (6a-6p). So there is no incentive for an owner to LMA a property for the kind of money you're offering. A station under an LMA is still the legal responsibility of the primary licensee. It is doubtful you will find a property on the air in that price range.

 

[Infamous]

I have been attempting in entering into an LMA with a possible purchase agreement. I have spoken to many brokers. I do have cash in hand and I have noticed that the majority of the brokers out there only want the BIG deals! Maybe this blog can help me with my accomplishment. Here is what I'm looking for;

Market 100-200 pop
FM Signal covering Hispanic pop
5k to 10k month
35K down - only if purchase agreement is in place.


If you or anyone you may know have a station available with this criteria please contact me. Thanks for your time.
[email protected]

The numbers you are quoting for down payment and monthly payment are way too low for an FM stick in the population range you're seeking.

That's not necessarily true. Let's take Corpus Christi (a market I am really familiar with) with it's population of a little over 300,000...there are a few stations in this market that are currently under an LMA agreement (KBSO, KNDA, and KYRK). All of those stations are being LMA'd for between $4K-$8K a month.