The state is selling a private prison it has owned north of Tucson to a Utah-based company.
The sale comes after a proposal failed in the state House, which attempted to lease it to the federal government to house immigration detainees.
The 500-bed facility is being sold to the company Management and Training Corp. for $15 million.
A business spokesperson did not say when it would reopen or whether it would house federal prisoners from other states.
MTC had owned the Marana prison from the mid-90s until the state bought it in 2013. Though the company continued to operate it until it was closed under a plan by Gov. Katie Hobbs due to a dipping prison population.
The state Department of Corrections, Rehabilitation and Re-entry said it was not involved in the sale, and that it had no plans to send state prisoners there.