The price that OTA Broadcasting will pay for WZXW-CA in Orlando FL is entirely dependent on the number of Floridians resident within its broadcast contour. But what bidders might pay is anybody’s guess. Broker: Media Venture Partners (buyer)
But it could very well be more than its purchase price. A lot more.
The Channel 36 facility is being sold by L4 Media Group LLC. Manager Rick Ehrman signed off on the application.
OTA Broadcasting LLC is headed by William Tolpegin, who wears many hats for OTA, including those of the CEO, President, Treasurer and CFO. Carol LaFever is COO and Charles F. Holtman is VP of Finance. Torchlight TV Investments LLC holds 99% of OTA.
The over-air contour is oriented to the eastern side of the city, and the contour is key to the price of the deal. The maximum price will be $2,500,000. OTA will pay $1.54 for each population living within the station’s 51 dBu protected service contour as determined by engineering firm Cavell Mertz. If the population turns out to be 1 million people, for example, the price for the station will be $1.54M.
The seller is contractually bound to make sure the Class A status of this station is not put into any kind of jeopardy with the FCC.
RBR-TVBR observation: The Greenhill study spectrum valuations are plenty sweet to a licensee looking to score a one-time cash bonanza.
A full power station could rake in as much as $85,000,000; and the median value is $68,000,000.
For a Class A such as WZXZ, the maximum value is estimated at $67,000,000, and the median value is $44,000,000.
Suffice it to say that we will be very surprised if this station is not put up for auction.