By BEX Staff for AZBEX
Editor’s Note: AZBEX has extensively covered Axon’s proposal for a corporate headquarters and campus master plan, as well as the efforts by opposition groups looking to stop the plan. While some of our reporting has only appeared in the AZBEX Digital Magazine, the majority is available on our website. Click here for the full background.
In an April 10 vote, the Arizona House passed the latest version of legislation that will allow Axon to build a previously approved headquarters and corporate campus in north Scottsdale.
The House approved its version of Senate Bill 1543 on a 40-19 vote, according to an article in the Arizona Capitol Times.
Axon’s proposal includes a 401KSF headquarters, nearly 1,900 multifamily units, six retail buildings, a 435-room hotel and seven restaurants.
Axon won approval for its proposal and the associated development agreements from the former Mayor and City Council last November. A political action committee—backed by California union Unite Here! and a local political advocate—launched a referendum petition that garnered more than 26,000 signatures to send the approval to the ballot. Citing costs, the current Mayor and City Council have refused to call a special election to put the measure to a vote before the November 2026 general election.
SB 1543 would thwart the referendum and grant companies in cities with populations of between 200,000 and 500,000 the right to construct hotel and apartment components on headquarters campuses on light industrial-zoned sites, such as Axon’s property at Hayden Road and Mayo Blvd.
Axon has repeatedly said it will leave Arizona if it has to wait until the late 2026 election to find out if it can proceed. The company has a valuation of approximately $43B and currently employs roughly 900 Arizonans. After initial development costs of more than $1.5B, the campus development’s 10-year economic impact is projected at $38B.
Opponents, including Scottsdale’s Republican representatives in an unusual split from party positions, say overriding the referendum undercuts local autonomy and sets a dangerous precedent. The local special interests also claim the volume of multifamily units and potential traffic impacts would be detrimental to the city’s “special character” and overall quality of life.
Supporters of the narrowly crafted legislation refute the precedent claim and have generally backed the bill because of Axon’s current and projected future impacts on the area and state economies. They also claim the potential harm to Arizona’s reputation as a business-friendly environment would almost certainly damage the state’s ability to attract corporate relocations, particularly for headquarters developments, and that the overall needs of the state supersede the local sentiment.
Along with the risk of damage to Arizona’s economic development efforts, some supporters also point to the state’s ongoing housing affordability crisis and praise the addition of new units to the existing inventory. Economists and market analysts have long-held increasing supply at any price point improves affordability across all housing types.
Unusually for an Arizona political issue, there are supporters and opponents in both the Democrat and Republican parties’ memberships. The debate before last week’s House vote, and in other sessions to consider various Axon-related bills, has gotten particularly heated at times.
Since the referendum signatures were certified, Axon has lobbied heavily for legislative intervention to save its plan. Past bills that would have stymied the referendum were stopped by leadership in both chambers.
Now that the bill has been approved in the House, it goes to the Senate for a final vote. If approved, it will then go to Gov. Katie Hobbs for her signature or veto. Hobbs’ office has said she does not comment on pending legislation, and she has given no indication of her intended action toward the Axon measure.
