Axon Halts Scottsdale Talks, Moves Forward with Headquarters Development

Axon, a law enforcement technology company, has announced the cessation of negotiations with Scottsdale regarding its proposed corporate campus and housing project. Despite gaining legislative support to bypass a public vote on the development, Axon has chosen to withdraw from talks.

In a statement, Axon President Josh Isner expressed frustration with the current political climate in Scottsdale. “The internal politics of the City Council currently make it impossible to reach an agreement,” he remarked, noting the persistent challenges during negotiations.

The Scottsdale project, valued at $60 billion, includes a luxury hotel and approximately 1,900 apartments, with some units intended for discounted leasing to Axon employees. Axon has repeatedly warned that failure to secure the project could lead to its relocation out of state.

Efforts to advance the project faced significant hurdles when local voters gathered enough signatures for a referendum. Lawmakers intervened, passing legislation to prevent a public vote, which Governor Katie Hobbs signed in April. This new law requires municipalities like Scottsdale to facilitate hotel and multifamily housing developments under certain conditions.

In light of Axon’s decision, city officials and local advocates are contemplating legal actions. They are also considering a statewide referendum aimed at challenging the new legislation.

Mayor Lisa Borowsky acknowledged the difficulties in reaching a compromise, indicating that the company had shown a willingness to modify the project to meet city concerns. “Unfortunately, there were too many hurdles to overcome in order to move an agreement forward,” she stated, expressing hope for future negotiations.

Meanwhile, Texas Governor Greg Abbott has expressed interest in attracting Axon amid these developments.

***CORRECTION: An earlier version of this story mistakenly reported that Axon was abandoning plans for its Scottsdale headquarters. The company clarified that while it will proceed with the project, it is ending negotiations for modifications with Scottsdale leaders.