Cottonwood Launches Five-Year Economic Strategy Targeting Housing and Business Growth
City officials in Cottonwood unveiled a major shift in economic strategy on Saturday, the new plan moves beyond simple tourism promotion to address critical infrastructure needs. Michelle Conway Kostecki is leading this five-year initiative, she aims to secure the city's financial future through diversification and stability.
Former Sedona Chamber Leader Brings Regional Expertise to Cottonwood
Michelle Conway Kostecki took over the city's economic development role in August 2025, she previously served as CEO of the Greater Sedona Chamber of Commerce. Her background involves managing high-volume tourism markets, she is now applying those lessons to Cottonwood's unique challenges. The city has historically served as a commercial hub for the Verde Valley region, however, it often competes with neighboring communities for investment dollars. Kostecki is tasked with bridging the gap between private business needs and government operations, her experience allows her to navigate complex stakeholder relationships effectively.
Strategic Plan Prioritizes Workforce Housing and Talent Retention
The core of this new development is a comprehensive five-year roadmap, the city partnered with consultants at Elliott D. Pollack & Company to design the framework. Kostecki has identified workforce housing as the single most urgent issue facing the local economy, she notes that businesses cannot grow without places for their employees to live. The plan focuses on four main pillars, these include housing solutions, talent development, quality of life, and direct business investment.
City leaders are moving quickly to implement the first phases of the strategy, this involves a modernization of the city's digital footprint. A new "Visit Cottonwood" website will launch soon to better market the area to outside investors and visitors, this digital upgrade aims to professionalize the city's image. Kostecki is also reassessing the work of the local Destination Marketing Organization, she wants to ensure tourism efforts support broader economic goals rather than standing alone.
Collaboration Remains Key to Success
The strategy moves away from isolated government work, it relies heavily on partnerships with the private sector. Kostecki emphasizes the need for strategic collaboration between the city and local organizations, she believes this united approach is necessary to solve large-scale infrastructure problems.
Local Businesses and Developers Set to Shape Future Growth
Real estate developers will face new opportunities and expectations under this plan, they are essential partners in solving the housing shortage. Local business owners stand to gain from new retention programs, the city intends to focus on keeping existing companies healthy while recruiting new ones. Residents may see a shift in how the city manages growth, the goal is to balance economic expansion with the preservation of the community's character.
The next two years will serve as a critical testing period for these ambitious goals, officials will measure success by the actual construction of new housing units. Kostecki urges the community to view economic vitality as a long-term project, she remains focused on building a diverse tax base.
