Could a bar actually go in the Sugar House Park hotel? 

by | Oct 29, 2025

With a proposed hotel at the northwest corner of Sugar House Park moving through the Salt Lake City approval process, one question lingers: could it actually have a rooftop bar?

Plans have suggested the proposed 90-foot tall boutique hotel would include at least a restaurant with a view overlooking the Wasatch Mountains. But the state’s arcane alcohol laws and the property’s proximity next to a public park put in question any plans for a place that would include space for a drink.

A Millcreek-based developer is working through the entitlement process for a property at 2111 S. 1300 E. that he’d like to turn into a hotel. The private property was previously home to a now-demolished Sizzler restaurant and has become one of the most fought-after pieces of land in the capital city.

It appears that current Utah laws would block the Department of Alcoholic Beverage Services from issuing a permit for any establishment within a future hotel on the site.

“If the hypothetical hotel operates with a hotel license, they could operate a bar if the hotel meets proximity requirements and the bar is located on the 2nd floor or higher,” said Michelle Schmitt, a spokeswoman for the DABS.

Schmitt specifically pointed out a section of the Utah code that specifies how close a hotel can be to a park if it applies for a permit to sell alcohol.

That section says the hotel can’t be within 300 feet of the logical walking path to the hotel from a so-called community location like a church, public or private school, a public park, public playground or a library. 

The hotel entrance also couldn’t be within 200 feet of a community location as the crow flies, according to the code.

Given the size of the parcel, it appears there’s no way to orient the hotel that would allow it to comply with the proximity requirements under existing state law.

Tanner Lenart, considered one of the preeminent alcohol attorneys capable of making sense of Utah’s alcohol laws, said she was “not able to comment on this story.” 

Schmitt didn’t respond to a follow-up question about whether state law would prevent the proposed hotel from including a rooftop bar or restaurant that served alcohol.

John Potter, the developer behind the proposal, seemed to acknowledge that there was no guarantee his hotel would be allowed to serve alcohol.

“We are moving forward with the hotel’s entitlements, independent but aware of Utah’s current liquor laws,” Potter said.

But he suggested he was working on changes to state law that would allow for alcohol on site.

“We are actively working with all key stakeholders to explore opportunities regarding the proximity law,” Potter added. “While we are currently subject to proximity restrictions on alcohol sales near the park, we are optimistic about future changes given Utah’s continued growth.”

Potter didn’t respond to a request for comment.

The Utah Legislature has granted similar exemptions for the area around the Delta Center as well as the redevelopment at the Point of the Mountain.

Email Taylor Anderson

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