It is the formal way of saying "you have" in Spanish.
Here are some examples:
* Usted tiene un coche nuevo. (You have a new car.)
* Usted tiene razón. (You are right.)
* Usted tiene que ir al médico. (You have to go to the doctor.)
It's important to remember that "usted" is used as a formal "you" when addressing someone you don't know well, someone older than you, or someone in a position of authority.