A method of operation of a mobile communication system includes: receiving a base carrier frequency signal from a cell tower location; generating a power spectral density from the base carrier frequency signal; measuring a Rician K factor from the power spectral density; estimating a line-of-sight Doppler frequency based on the base carrier frequency signal; determining the cell tower location based on the Rician K factor; and activating a handover decision handler based on the cell tower location.