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State sets Dec. 22 auction for 4,754 acres east of San Tan Valley, eyed for a defense project called Project Paperclip

The Arizona State Land Department lists a $46.5 million minimum bid for the Pinal County tract; records describe a defense-related development, and no company has publicly claimed it.

Pierce Keller

October 16, 20262 min read

Arizona land auction - illustration, Jake Team LLC

The Arizona State Land Department has set a Dec. 22 auction for about 4,754 acres of state trust land east of San Tan Valley, and land department records describe the buyer's intended use as a defense project that has picked up a code name: Project Paperclip.

The department's list of upcoming auctions shows a land sale of 4,753.757 acres in Pinal County at 10 a.m. on Tuesday, Dec. 22, with a minimum bid of $46.5 million. The listing, under land department file number 53-127105, covers parts of 11 sections in townships 2 South and 3 South.

What is known about the plan

Records filed with the land department show the acreage being sought for a large defense project dubbed Project Paperclip, the Phoenix Business Journal reported in a story ABC15 republished Friday.

Real Estate Daily News, citing the Business Journal, reported that an April 9 land department letter lists Rose Law Group as applicant and says the proposed use is building and testing hypersonic missiles on a large scale. No company has said publicly that it is behind the project.

The site has a history. Last year, California-based Castelion, a hypersonic missile startup founded by former SpaceX employees, looked at roughly 1,000 acres of state land in the same part of Pinal County for a testing facility before choosing New Mexico, according to the Business Journal.

County supervisors had readied that land in October 2025 for what was then called Project Ranger, which is also the name of Castelion's New Mexico project.

The zoning already in place

According to Real Estate Daily News, the county Board of Supervisors gave this property industrial zoning on Oct. 1, with conditions that rule out utility-scale solar and data centers built on their own, pointing the land toward other kinds of industrial employers. Earlier reporting on that vote put the tract at about 4,695 acres; the auction listing gives the slightly larger figure.

A completed sale would settle who owns the land. How much a buyer would invest there, how many people it would employ and when building would start have not been disclosed.

Sources

land.az.gov

abc15.com

realestatedaily-news.com

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Pierce Keller

Pierce Keller writes about community life, schools, public safety, and local events in Queen Creek.

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