Self-directed retirement investors seeking portfolio diversification beyond traditional stocks and bonds are exploring cell tower leases and related infrastructure investments as an alternative asset class within their retirement accounts. According to Jaime Raskulinecz, CEO of Next Generation Trust Company, cell towers represent critical infrastructure for wireless communication with leases typically spanning five to 30 years, offering potential for stable long-term returns. The wireless infrastructure sector has demonstrated significant growth, with the Wireless Infrastructure Institute reporting over 154,800 purpose-built towers and 445,900 macrocell sites and outdoor small cells in operation during 2024. Investment in the U.S. wireless infrastructure sector exceeded $63 billion that year, indicating substantial market activity and expansion opportunities.
Cell tower investments offer several benefits for self-directed investors who can include alternative assets in various retirement accounts including IRAs, health savings accounts, solo k plans, and Coverdell education savings accounts. These structures can support multiple tenants, potentially enhancing income streams and providing a hedge against market volatility and inflation through contractual passive income arrangements. Beyond direct cell tower lease investments, self-directed retirement accounts can diversify within this asset class through several approaches. Investors may purchase and own the ground lease of existing towers, invest in publicly traded tower real estate investment trusts (REITs), or participate in infrastructure funds specializing in this growing real estate sector. These options provide different levels of involvement and risk exposure while maintaining focus on telecommunications infrastructure.
The investment potential extends to related niche real estate opportunities including billboards, which share similar characteristics with cell towers regarding steady income generation and inflation hedging. Both asset classes offer contractual revenue streams that can provide stability during economic fluctuations. For investors seeking comprehensive information about self-direction as a retirement wealth-building strategy, additional resources are available at https://www.NextGenerationTrust.com. The growing interest in alternative assets within retirement accounts reflects broader trends toward portfolio diversification and infrastructure investment opportunities in the expanding telecommunications sector.
