I've got a trio of azures in my 65gallon. During the day, two hang out in the left half of the tank, while the third patrols the right side. Twice now, early in the morning, I've caught two of the damsels spawning under a ledge ... on the right-hand side!
Also in the morning, and I mean _very_ early, just after blues-on, I've seen all three writhing about in a single crevice in the liverock. Pretty sure that's the bedroom for all three.
Although my azures get along great with each other, and are a lot of fun to have around, they _will_ defend what they see as "theirs" from any new additions - and some additions will take almost a week to be accepted.
~Bruce