With the pandemic resulting in a reduction in business and the slowing of construction due to materials delays and manpower issues, the Town Council has voted to approve an extension of the timeline in the development agreement for the Adero Scottsdale resort.

The original agreement was under the name CopperWynd.

Phase I of the work was completed in March 2020, just at the onset of the pandemic. The agreement calls for the completion of Phase II, an additional 110 rooms, to be completed in March of 2023. That has been extended until March of 2028.

Phase III is an additional 50 rooms and 3,800 square feet of convention space to be completed by March of 2027. The extension gives the resort until March 2032 to complete that work.

It was noted that the original zoning agreement for the resort development was approved in anticipation of additional recognition and economic benefit to the Town of Fountain Hills. However, ownership entered into an agreement with Marriott Corporation for branding and the name was changed to Adero Scottsdale, which has resulted in a Scottsdale mailing address. (Postal Service allows either Scottsdale or Fountain Hills to be used in the mailing address consistent with an overlapping Zip Code).

Much of the social media advertising and marketing of the resort has emphasized the Scottsdale location.

Resort owner Bill Hinz told the council that Marriott insisted the Scottsdale branding be included in the resort name when it agreed to allow its banner on the hotel.

Staff has asked that additional recognition for Fountain Hills be included in the marketing information and over the past few months changes have been made to credit the Fountain Hills location for the International Dark Sky recognition the resort uses in marketing. It has also noted the preservation efforts of the Town of Fountain Hills for the trailhead amenity and the adjoining desert preserve area.

The council approved the extensions with recognition that the Town of Fountain Hills does collect the room and dining sales taxes from the resort. Some, however, were less than completely satisfied with the resort’s efforts to recognize Fountain Hills.

Councilman Mike Scharnow said he is glad the marketing changes were made, however, he still believes the Town received a slap in the face many years ago regarding the property surrounding the resort site.

Scharnow noted that in the 1980s Scottsdale used its leverage and coerced the Town into giving up 405 acres to be annexed by Scottsdale. He said it was anticipated that a large resort would be built there, but never panned out. In return for the 405 acres the city agreed to allow Fountain Hills to pursue annexation.

Councilwoman Peggy McMahon said she believes the resort is robbing Fountain Hills of key elements of its identity.

“They should be less exclusive and more inclusive,” McMahon said.

The vote was 6-0 to approve the timeline extensions.