Utah Commercial Lease Guide

Commercial Lease Guide for Utah

A practical, tenant-focused guide to reviewing Utah commercial leases — not legal advice.

Key Lease Considerations

Utah’s growth corridors can create competitive leasing and fast timelines — which increases the chance that cost details (CAM scope, TI rules, and default language) get missed.

This guide focuses on controlling your buildout risk (contracts, lien waivers, approvals) and turning “standard lease” language into predictable, budgetable obligations.

Major markets

Where we see the most leasing activity.

Salt Lake City
Provo
Ogden
Park City
St. George

Common lease types

Typical structures and what to watch.

Retail: NNN (snow removal and common-area rules matter)
Industrial/Flex: NNN (yard/loading, pavement, and equipment access)
Office: modified gross or full service (expense escalations and after-hours HVAC)

Cost drivers

Items that often create surprise bills.

CAM definitions (snow removal, landscaping, shared parking, management fees)
Tenant improvement (TI) requirements and contractor/lien processes
Repairs vs. replacement obligations for HVAC, roof, and parking areas
Utility allocation when meters are shared (submetering vs. formulas)
Permitting and inspection timing (rent start vs. opening readiness)

Negotiation checklist

TI process + lien protection

If you’re building out the space, require clear approval steps, contractor insurance requirements, and a lien-waiver process. Don’t accept vague TI obligations without a schedule, budget, and timeline.

Define and audit CAM

Get a CAM budget, annual reconciliation, and audit rights. Exclude capital replacements (or require amortization) and cap admin/management fees.

Snow removal scope in writing

Specify areas (sidewalks, parking, loading, roof if applicable) and service levels. Avoid open-ended “tenant responsible for all snow” clauses without a budgeted scope.

Repairs vs. replacement clarity

Spell out who pays for replacement of roof/HVAC/pavement. If tenant maintenance is required, negotiate caps and exclude major capital replacements.

Rent start tied to approvals

If permits/inspections/CO are required, keep rent from starting until you can legally and practically open. Add remedies for landlord delays in delivering the premises.

Default language you can survive

Add written notice + cure periods, cap late fees/interest, and avoid acceleration language and unlimited attorney-fee shifting.

Assignment/sublease flexibility

Negotiate reasonable assignment/sublease rights with clear consent standards so you can sell the business, add partners, or relocate if needed.

Official resources

Utah Business Registration (Division of Corporations)Utah State Tax Commission Utah SBDC

Not legal advice. Always verify local requirements and consult qualified professionals for your situation.

Common Red Flags in Utah

Commercial real estate in Utah typically favors the landlord in standard lease drafts. Whether you are in Salt Lake City or elsewhere, you need to watch out for:

Uncapped NNN Charges: Variable costs like property taxes and insurance can skyrocket.
Broad Indemnification: Clauses that require you to pay for the landlord's negligence.
Relocation Clauses: Rights for the landlord to move your business to a worse location.

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Frequently Asked Questions

Are NNN leases common in Utah?

Yes — particularly for retail and industrial properties. Ask for a clear CAM budget, reconciliation process, and audit rights so your occupancy cost is predictable.

Why does tenant improvement (TI) language matter so much?

TI terms control approvals, timelines, and who pays for what. They also affect lien risk if contractors or suppliers aren’t paid. Make sure the lease matches your construction plan and includes lien-waiver processes.

Who should handle snow removal in Utah?

It depends on the property and lease type. Make sure the lease clearly states the areas and service levels and whether snow costs are included in CAM or billed separately.

What should I compare besides base rent?

Compare total occupancy cost (rent + CAM/NNN + utilities + insurance) and your exposure to major replacements (roof/HVAC/pavement) and harsh default clauses.

Does BizLeaseCheck provide legal advice?

No. It helps you spot common risks and compare leases quickly, but it’s not legal advice. Use it alongside qualified professional review for your situation.