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HashiCorp Terraform is an infrastructure as code tool: you describe your infrastructure in configuration files, and Terraform works out what needs to change and applies it using providers such as AzureRM and AzAPI.
Locally supports Automatic Configuration for Terraform - as long as your provider block sources its credentials from the environment, you can prefix your commands with locally run (for example locally run terraform apply) and they'll run against Locally.
An apply takes seconds rather than minutes against the cloud, so you can iterate quickly (as can your agents), then ship the same configuration to Azure when you're ready.
Use HashiCorp Terraform with the hashicorp/azurerm provider to provision Azure infrastructure against Locally instead of Azure.
Adapt an existing HashiCorp Terraform configuration that uses the hashicorp/azurerm provider so it can target Locally as well as Azure.
Use HashiCorp Terraform with the AzAPI provider to call any Azure REST API against Locally.
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Your Azure infrastructure, running on your machine. Deploy in seconds, break things freely, and ship to Azure when you're ready.