Executive Overview

Short-term rentals ARE ALLOWED in Pleasant Grove, Utah, but they are subject to specific licensing, zoning, and regulatory requirements. The city has implemented a framework that permits STR operations while maintaining oversight through business licensing, safety standards, and tax collection obligations. According to market data, Pleasant Grove currently hosts 34 active short-term rental listings with "low" regulatory constraints compared to other Utah municipalities, creating a relatively business-friendly environment for STR investors.

Starting a Short-Term Rental Business in Pleasant Grove

Step 1: Property Eligibility and Zoning Verification

Before purchasing or converting a property, verify that your intended use complies with Pleasant Grove's zoning ordinances. Short-term rentals are not permitted in all areas of the city, and restrictions vary by residential zone. Contact the Community Development Department at 801-785-6057 to confirm your property's zoning allows STR operations.

Step 2: Business License Acquisition

All STR operations require a valid business license from Pleasant Grove City. The licensing process ensures:

• Proper zoning compliance
• Building fire safety code adherence
• Federal, state, county, and local code compliance

License Types and Costs:

• Home Occupation License: $50.00 plus conditional use permit fees (Minor Home: $50 one-time; Major Home: requires Planning Commission meeting)
• Commercial License: $75.00 (additional fees may apply)
• Processing time: 1-2 weeks after complete application submission

Step 3: Accessory Apartment Consideration

If operating within a single-family residence, consider the accessory apartment pathway:

• Allowed in single-family residential dwellings
• Requires registration with $25 fee
• Must maintain owner-occupied primary residence
• Requires completed registration form and owner's affidavit

Step 4: Safety and Compliance Setup

Ensure your property meets all safety standards including smoke detectors, egress windows, and other fire safety requirements. Properties must pass safety inspections as part of the licensing process.

Step 5: Tax Registration and Collection

Register for appropriate tax accounts and implement transient room tax collection procedures on all bookings. The city requires hosts to collect and remit transient room taxes.

Required Documents, Permits, and Licenses

Primary Requirements

1. Business License Application

   • Completed application form
   • Property ownership or rental documentation
   • Zoning compliance verification
   • Processing fee ($50-$75 depending on license type)

2. Safety Compliance Documentation

   • Fire safety inspection results
   • Smoke detector installation certificates
   • Egress window compliance (if applicable)
   • Building code compliance verification

3. Tax Registration Documents

   • State tax number registration
   • Federal EIN application (if required)
   • Transient room tax registration

4. Property Documentation

   • Property deed or lease agreement
   • Site plan and property details
   • Insurance coverage verification

Additional Requirements for Accessory Apartments

• Accessory Apartment Registration form
• Owner's Affidavit of primary residence occupancy
• $25 registration fee

Professional Licensing (If Applicable)

• DOPL License (if providing professional services)
• Health Department License (if required for property type)

Specific Regulations by Jurisdiction

Pleasant Grove City Regulations

Licensing Requirements:

• Business license mandatory for all STR operations
• Annual renewal required (due December 31st)
• License non-transferable between owners
• Location transfers require new license application

Zoning Restrictions:

• STRs not permitted in all city zones
• Residential zone restrictions apply
• Property must be properly zoned for STR use
• Planning Commission approval may be required for major home occupations

Operational Standards:

• Occupancy limits based on property size and type
• Safety inspection requirements
• Local contact person requirement for non-resident owners
• Compliance with noise ordinances and parking regulations

Tax Obligations:

• Transient room tax collection and remittance required
• State and federal tax compliance
• Regular tax reporting obligations

Utah County Regulations (For Unincorporated Areas)

If your property lies outside Pleasant Grove city limits:

• Utah County ordinances apply
• County permit requirements still mandatory
• Safety standards and inspections required
• Fewer zoning limitations but subject to county enforcement
• Neighbor complaint protocols in effect

Utah State Regulations

State-level considerations include:

• Sales tax collection requirements
• Transient room tax obligations
• Health and safety standards
• Professional licensing requirements (if applicable)

Local Authority Contact Information

Pleasant Grove City Hall

Phone: (801) 785-5045 Hours: Monday-Thursday 7:30 AM - 5:30 PM; Friday 8:00 AM - 12:00 PM Address: 70 S 100 East, Pleasant Grove, Utah 84062 Website: www.pgcityutah.gov/

Community Development Department

Planning & Zoning Phone: 801-785-6057 Business Licensing: Available through Community Development Code Enforcement: Available through Community Development Building Division: Contact for safety inspection requirements

Public Works (For Infrastructure Questions)

Phone: 801-785-2941

Utah County (For Unincorporated Properties)

Website: maps.utahcounty.gov/ParcelMap/ParcelMap.html

Source Links

1. Pleasant Grove City Community Development FAQs: www.pgcityutah.gov/departments/community_development/faqs.php
2. Pleasant Grove City Code of Ordinances: codelibrary.amlegal.com/codes/pleasantgroveut/latest/overview
3. AirROI Pleasant Grove Market Analysis: www.airroi.com/report/world/united-states/utah/pleasant-grove
4. TruStay Utah County STR Guide: www.trustaypm.com/post/short-term-rental-regulations-in-utah-county-what-you-need-to-know
5. Summer Vacation Rental Management Guide: www.gosummer.com/vacation-rental-management/pleasant-grove-utah
6. Business Licensing Information: www.pgcityutah.gov/departments/community_development/business.php
7. Planning Commission Meeting Information: Available through city website
8. Fee Schedule: www.pgcityutah.gov/departments/community_development/fee_schedule.php

Important Investment Considerations

Market Performance: Pleasant Grove's STR market demonstrates solid performance metrics with 34 active listings generating median annual revenue of $19,079, 50.2% average occupancy, and $117 average daily rate. The market shows 9.6% year-over-year growth, indicating expanding opportunity.

Seasonality: Peak revenue occurs in July with lowest earnings in November. Understanding these patterns is crucial for pricing strategy and investment projections.

Compliance Risk: Non-compliance with licensing, zoning, or tax requirements can result in fines, legal action, and forced listing shutdown. The relatively low regulatory environment creates opportunity but requires diligent compliance.

Zoning Verification: Always confirm zoning compliance before purchase. The variation in permitted areas makes property selection critical for STR investment success.

This comprehensive framework provides the essential information needed to launch and operate a compliant short-term rental business in Pleasant Grove, Utah. Regular consultation with city authorities and monitoring of regulatory updates ensures ongoing compliance and operational success.