My suggestion would be to cap your utilities at a certain amount and have Tenants pay anything over that amount.That will help you manage your expenses, and also allow Tenants to gage their usage each month, and make adjustments if they don't want to go over the allotted amount.As far as collection, provide the bill showing any overages and just have them pay for it along with their rent. 

If you’re In a title state make proof of utility pay off a condition of closing.

@Blair Ross JrElectric/Gas: Contact the utility provider to see if separate meters are allowed for your property.

It cash flows without the utilities split but I am planning to hold onto for a long time so splitting the utilities seems to make sense.

Utilities for the Rented HouseDeductible as a rental expense from when the property was placed in service (ready to rent).

So now we cover utilities for both units and the new tenant pays a higher amount too on the back unit to cover all the utilities with a great profit.  

I would definitely go with a utility cap. 

They’re requesting what feels like an unreasonable amount of information, and the demands keep escalating.So far, they’ve asked for:A video tour of my home officeCredit checks on me and my partnerCopies of the deeds for every property we ownA copy of my partner’s home lease and utility billsBusiness phone billsA signed letter from the bank verifying our accountsBank statementsHonestly, it feels more like qualifying for a loan than trying to become a customer.

You can expect that you will be required to build roads, sidewalks, storm water control, utility taps, street lights, street trees as well as recreation fees as part of the development process. 

And you can be a landlord that gets a very poor return because they haven't utilized their space well by changing the layout.