I'm interested in Axioms and trying to figure out which system would be right for my space, budget, uses etc.

The room is sort of tricky to assess because it's an open kitchen, dining area, living area (loft style apt. in NYC) with high ceilings (12'), and that whole area is pretty big (38x18x12) BUT, the real listening area for the system is just the living area, which is about 1/2 that whole space, and the speakers will all be focused around this smaller part of the overall space.

I listen primarily to Jazz, some classical and some pop and movie-wise, don;t feel the need for earth rattling bass.

So, M60s or M80s for mains? EP350 is fine? or is $1100 for EP500 really worth it?

Help! Thanks.

For that kind of layout I would go with 60s and spend any extra $$ on sub not mains. VERY roughly you need to size your mains based on distance from speakers to listening position but size the sub based on the size of the entire room. It's not really that simple but it's a good start...

With a room that size, a larger speaker will provide higher SPL overall, but if you do not require high sound volumes, stick with the M60s.
If you do not want heavier bass, then the EP350 should be fine, unless of course you want to hear the bass 20 feet away.
At 10-12 foot typical listening distance, even the EP175 would work, but it seems that people never sit in one location while that stereo plays. Inevitably you head into the kitchen to do some cooking and want to hear the music...