Insurer Nationwide is paying $83 million to buy state land in north Scottsdale, where it plans to open a regional headquarters that could bring thousands of jobs to the area.
Nationwide Mutual Insurance Co. was the top bidder at a Wednesday auction for 134 acres on the northwest corner of Hayden Road and the Loop 101, according to the Arizona State Land Department.
The site is part of a bigger 1,000-acre state land site, where development to bring 5,500 jobs is on the drawing board.
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In June, the Scottsdale City Council rezoned the land to include offices, hotels and homes.
The City Council also agreed to reimburse Nationwide up to $21.9 million of the $33 million that the company is expected to spend on public infrastructure, including roads and drainage.
“Nationwide‘s significant investment speaks to the confidence businesses have in our state’s thriving economy,” Gov. Doug Ducey said in a statement about the state land sale.
Revenue from state land sales benefits Arizona public schools.
The big development has sparked some concerns about traffic and building heights from nearby residents. In June, the plan called for Nationwide to build 10-story midrises near the freeway.
Scottsdale Mayor Jim Lane said at the time that the project would provide infrastructure investment and continue to diversify the Scottsdale economy.
"These deals don't come along every day," he said.
Nationwide currently has Scottsdale offices in Gainey Ranch and the Pima Center, which will be moved to the new regional headquarters.
No construction start date for Nationwide’s new project has been announced yet.