A cobalt-catalyzed stereoselective 1,2-hydroxyazidation of 1,3-dienes has been developed, enabling efficient synthesis of β-azido alcohols, which retain a C═C bond for further derivatization. This protocol features a broad substrate scope, employs an inexpensive cobalt catalyst, and proceeds under ambient air at room temperature. The method offers direct access to valuable β-azido alcohols, which serve as key precursors to β-amino alcohols and various nitrogen/oxygen-containing heterocycles. Mechanistic investigations revealed the hydroxyl group origin and provided evidence for a radical-based pathway.