Coconino County panel recommends mixed hospitality and workforce-housing project for Valley

The Coconino County Planning and Zoning Commission unanimously recommended approval of two zone changes and a subdivision plat for a phased development in the Valley that would combine roughly 130 hospitality units with workforce housing and public amenities.

Commission members recommended the zone changes (identified in the hearing as Zone Change 25-005 and Zone Change 25-006) and the subdivision plat (identified in the hearing as SUV 25007) to the Board of Supervisors after presentations from the project team and a public comment period.

The proposal blends a wellness-focused hospitality component branded with partner Arcana and a workforce-housing component that the applicants said would include factory-built dwelling units, on-site utilities and public-facing amenities such as a restaurant and a spa. "The purpose of our business is to help reconnect people with nature," said Jeremy Hill, who introduced himself as a co-founder of Arcana, adding that the company intends a "nature-first" hospitality experience. Project representatives said they plan a phased implementation with infrastructure built in the first phase so both elements can function.

Why it matters: County commissioners cited the project's potential to deliver new infrastructure, create jobs and provide workforce housing in an area where lot owners have struggled to develop individually. The project team also presented detailed civil plans intended to meet fire protection and roadway requirements that commissioners flagged as essential to public safety.

Project details and infrastructure The applicants said the hospitality component was expected to be "around a 130" units; earlier in the presentation staff referenced a planning-stage assessment of a need for as many as 150 additional hospitality units. The development team said units would be factory-built and stressed environmental and design siting that "blends into the land." The team noted they have discussed allocating several lots to Habitat for Humanity but did not specify how many.

Ian Braun, who identified himself as the owner of CD and E, described the planned water and wastewater systems. He said the team plans to drill two water wells for redundancy, although a consulting hydrogeologist told them one would suffice, and to build a water-storage and fire-protection system with hydrants sited so there will be a hydrant within 500 feet of every dwelling. "We're gonna be designing for a 1,500 gallons per minute for 2 hour fire flow. So that's a 180,000 gallons of storage," Braun said, later adding the site would have 400,000 gallons of total storage on-site. He also said the on-site wastewater system would treat part of the wastewater to an "NSF 350 standard suitable for reclaim reuse" for irrigation, as stated in the presentation.

The team said it had submitted for an ADOT encroachment permit and that a traffic-impact study recommended right- and left-turn lanes on Highway 64; they also reported positive initial exchanges with the sheriff's office on emergency access improvements along Highgrove Road.

Community concerns and engagement Two members of the public spoke during the three-minute public-comment period. Michelle Okelsby Flores said she appreciated reductions made after a February community meeting but voiced traffic and fire-district concerns: "My biggest concern ... is the traffic," she said, asking whether turn lanes would suffice if the project adds as many as 300 more cars per day and whether a proposed fire district would serve the broader Valley community or primarily the development. Miranda Baldalski said there are already "over 285 vacant lots for sale" in Valley and urged the county to prioritize infrastructure and robust, accessible public participation before approving new rezonings.

Commission discussion and votes Commissioners praised the presentation and the team's outreach. Commissioner Tohey thanked the applicants for engaging with the Valley-area plan and said she could "make the findings on both counts." Vice Chair Wilson and other commissioners said they believed the team had addressed county and community concerns and likewise said they could make the required findings. Commissioner Best emphasized limiting disturbance of native vegetation and encouraged careful site work and stewardship messaging for visitors.

On two separate motions the commission voted to forward recommendations to the Board of Supervisors: Vice Chair Wilson moved to recommend approval of zone changes 25-005 and 25-006; Commissioner Berger seconded, and the motion passed unanimously. Commissioner Best moved to recommend approval of subdivision plat SUV 25007 with Vice Chair Wilson seconding; that motion also passed unanimously. The commission's recommendation does not itself approve development; it forwards the items to the Board of Supervisors for final action.

What remains Applicants said the project is planned to be phased, with infrastructure (including sewer and water) installed in phase one. They told the commission that funding discussions are ongoing with institutional hospitality investors and that Aginski Capital is participating. The applicants emphasized that the project's success depends on both the hospitality and workforce-housing components being built. The commission's action opens a public-comment window before the Board of Supervisors' consideration, and the commission chair reminded the public the Board will have its own hearing.

The commission closed the hearing and adjourned the meeting following the votes.