A base station (eNB) selects between a cellular communication link and a device-to-device (D2D) communication link for communication between a first user equipment (UE) device and a second UE device. The eNB instructs each UE device to transmit a reference signal that is received by the other UE device and the eNB. Each UE device reports D2D channel characteristic information indicative of the received reference signal. The eNB determines first cellular channel characteristic information of a first portion of a cellular communication link between the first UE device and the eNB and determines second cellular channel characteristic information of a second portion of the cellular communication link between the second UE device and the eNB. Based on at least one of the first cellular channel characteristic information, the second cellular channel characteristic information, and the D2D channel characteristic information, the eNB selects cellular communication or D2D communication for communication between the UE devices.