Overview
A development agreement is a legally binding contract between a local county or municipality and a private party (landowners or developer) that helps both parties work together throughout the development process via a cooperative framework which guides a specific development project through the approval and construction process.
For landowners and developers, development agreements are valuable because they provide a higher degree of regulatory and political certainty. This certainty can significantly improve project feasibility and financing. These agreements commonly address key elements such as development phasing, applicable rules and regulations pertaining to the development of a specific property, infrastructure responsibilities (including timing, cost-sharing, and coordination), and other project-specific commitments that help reduce uncertainty over time.
From the local government’s perspective, development agreements serve as a strategic planning and economic development tool. They can be used to encourage investment, support orderly growth, and ensure that large or complex projects align with adopted ordinances, land use standards, and the community’s long-term visioning and plans. They also provide an opportunity to clearly define expectations upfront, reducing ambiguity during later stages of (i.e., land use application review and subsequent construction).
In Utah, development agreements are authorized under §10-20-508 and §17-79-508 of Utah State Code (as amended). In addition to state law, counties and municipalities may adopt their own specific procedures, standards, or limitations governing the use of development agreements within their local ordinances.
Content Contributors: Jones and DeMille Engineering, Inc, Hansen Planning Group, LLC / Rural Community Consultants
Special Note: This material was developed by civiclinQ for the Land Use Academy of Utah (LUAU). Funding for the development of this material was provided by through the Land Use Training Fund, which is administered by the Office of the Property Rights Ombudsman , utilizing a portion of the 1% surcharge on all building permits in the State of Utah.
The role of this organization in administering funding is primarily administrative and should not be viewed as legal advice. Always consult your legal representative when addressing land use activities.
Use the ‘Materials’ tab above to view related course materials, including printable pass-along card and PDF version of this online course.
