Short-Term Rental Investment Guide: Centerville, Utah

Executive Overview: STR Status in Centerville, UT

Short-term rentals are NOT explicitly regulated in Centerville City. The municipal code does not contain specific ordinances addressing STRs as a distinct land use category. However, investors should understand that existing zoning provisions and state regulations may apply to STR operations.

Zoning Framework and STR Classifications

Current Zoning Classifications Relevant to Lodging

Bed and Breakfast (Defined in CZC 12.12.040):

• Limited commercial activity providing lodging
• Guests obtain lodging on day-to-day basis in rooms without cooking facilities
• May provide breakfast or other meals
• May engage in other limited related activities
• Status: Likely requires conditional use permit in residential zones

Hotel (Defined in CZC 12.12.040):

• Establishment offering transient lodging accommodations
• May have fixed cooking facilities in individual rooms
• May provide additional services (restaurants, meeting rooms)
• Status: Typically requires commercial zoning

Guest House (Defined in CZC 12.12.040):

• Secondary dwelling on same lot as main dwelling
• For housing guests without compensation
• Maximum 30-day stays with 14-day vacancy periods
• Cannot be rented separately from main dwelling
• Status: Limited to non-commercial use

How to Start a Short-Term Rental Business

Step 1: Determine Zoning Compliance

1. Identify your property's zoning designation (check Centerville zoning maps)
2. Review allowed uses in your specific zone (CZC 12.30-12.39)
3. Contact Planning Department to confirm STR compatibility with zoning

Step 2: Business Licensing

• Obtain general business license through Centerville Business Licensing (CMC 6)
• Verify if STR-specific licensing exists (no evidence in provided codes)

Step 3: Conditional Use Permit (if required)

• If STR use is not explicitly permitted, apply for conditional use permit
• Follow procedures in CZC 12.21 (Application Procedures)
• Attend planning commission hearing

Required Documents and Permits

Essential Documentation

1. Business License Application
2. Conditional Use Permit Application (if required)
3. Certificate of Occupancy verification
4. Property Deed/Lease documentation
5. Property Insurance (liability coverage)
6. Utah State Tax Registration (sales tax, transient room tax)

Building and Safety Compliance

• Certificate of Occupancy required before operation (CZC 12.10.100)
• Building must conform to Construction Codes (CMC 10.3)
• Fire safety compliance (CMC 7.5)
• Health department requirements (if applicable)

State-Level Regulations (Utah)

State Code Reference

• Utah Code § 10-8-S85.4 - Municipal regulation of rental properties
• State allows cities to regulate but must follow specific guidelines
• No explicit prohibition on STR operations found in provided materials

Tax Requirements

• Transient Room Tax registration with Utah State Tax Commission
• Sales Tax collection and remittance
• Income tax reporting requirements

Zoning Regulations by District

Residential Zones

Single-Family Residential (R-L, R-M, etc.)

• Guest House use allowed with restrictions (non-commercial)
• Bed and Breakfast likely requires conditional use permit
• Hotel use generally not permitted

Commercial/Industrial Zones

Commercial Zones (C-1, C-2, etc.)

• Hotel and Bed and Breakfast more likely permitted
• Tourist-oriented uses typically allowed
• Parking and site standards apply

Special Considerations

• Accessory Dwelling Units (ADUs) regulated separately (CZC 12.41.074)
• Planned Development Overlay may have specific provisions
• Overlay districts may modify underlying zoning

Operational Requirements

Occupancy Standards

• Guest House: Maximum 30-day stays with 14-day vacancy periods
• Bed and Breakfast: Day-to-day lodging without cooking facilities
• Hotel: Transient lodging with flexible accommodation periods

Parking and Access

• Must comply with parking requirements for lodging facilities
• Adequate access for emergency vehicles required
• Residential parking impact considerations

Enforcement and Compliance

Violation Consequences

• Nuisance Abatement (CZC 12.10.100.4)
• Certificate of Occupancy revocation for violations
• Fines and Penalties (CMC Uniform Fine Schedule)
• Business License suspension or revocation

Reporting Violations

• Code Enforcement through City Manager's office
• Public Nuisance complaints processed through City
• Police Department handles noise/disturbance issues

Contact Information

Primary City Contacts

Centerville City Hall

• Address: 250 N Main Street, Centerville, UT 84014
• Phone: 801-295-3477
• Fax: 801-292-8034
• Website: centervilleutah.gov

Department-Specific Contacts

City Recorder (Code Questions)

• Contact: Jennifer Robison
• Phone: 801-295-3477
• Email: Jennifer.Robison@centervilleutah.gov

Planning and Zoning

• Department: Planning and Development
• Contact through: City Hall main number

Business Licensing

• Department: City Manager's Office
• Contact through: City Hall main number

Code Enforcement

• Department: City Manager's Office
• Contact through: City Hall main number

State-Level Contacts

Utah State Tax Commission

• Website: tax.utah.gov
• Phone: 801-297-2200
• For: Transient room tax and sales tax registration

Source Documentation

Primary Municipal Sources

• Centerville Municipal Code - Zoning
• Centerville City Ordinances

State Regulatory Framework

• Utah Code Title 10, Chapter 8

Investment Recommendations

Due Diligence Checklist

1. Verify zoning compliance before property purchase
2. Contact city planning for pre-development consultation
3. Review recent ordinance amendments for STR-specific changes
4. Obtain legal review of property rights and restrictions
5. Confirm insurance requirements for commercial lodging operations

Risk Mitigation

• Monitor city council meetings for STR-specific ordinance development
• Maintain compliance with all building and safety codes
• Establish good relationships with neighbors and city officials
• Document all compliance efforts for potential disputes

Disclaimer: This analysis is based on provided municipal code content as of 2024. Regulations may change, and investors should verify current requirements with city officials before proceeding with STR investments in Centerville, Utah.