Agenda Item: 1
CITY OF SANTA CLARITA
AGENDA REPORT
PUBLIC HEARINGS
CITY MANAGER APPROVAL:
DATE: August 26, 2025
SUBJECT: MODIFICATION TO THE HARTWELL MIXED USE PROJECT (MASTER CASE 25-089)
DEPARTMENT: Community Development
PRESENTER: Erika Iverson
RECOMMENDED ACTION
City Council:
1. Conduct the public hearing.
2. Determine that the project is exempt from additional review under the California Environmental Quality Act as the project was contemplated and will comply with all mitigation measures established under the Old Town Newhall Specific Plan Final Environmental Impact Report.
3. Adopt a resolution approving Master Case 25-089 (Minor Use Permit 25-014 and Development Review 25-009) for the modification of the Hartwell Mixed Use Project, located at the corner of Main Street, Market Street, and Railroad Avenue, subject to the attached revised Conditions of Approval (Exhibit A).
BACKGROUND
Request
The proposed project is a request by Serrano Development Group for a Minor Use Permit (MUP) and Development Review (DR) to modify the previously approved Master Case 24-134 known as the Hartwell Mixed Use Project (Hartwell project), located at 24300, 24308, 24316, and 24322 Main Street and 22505 Market Street (Assessor’s Parcel Numbers 2831-012-022 through - 027), within the Arts & Entertainment (AE) zone of the Old Town Newhall Specific Plan (OTNSP). The modification would expand the project site to include the adjacent KHTS Radio Station property, increasing the number of apartment units to 98 and the commercial floor area to
6,300 square feet (Project), an expansion of approximately 25 percent of the originally approved project.
Project Setting
The revised project site adds one parcel to the previously approved area, bringing the total to six parcels within the OTNSP area, covering approximately one acre. It is located at the three-way corner of Main Street, Market Street, and Railroad Avenue, across the street from the Jan Heidt Newhall Metrolink Station. Three existing buildings on-site were approved to be demolished under the original project: the Mac’s Pool Supply building, the Horseshoe on Main building (previously known as Soundsations), and the historic Masonic Lodge/Courthouse. This proposed modification includes the demolition of the KHTS Radio Station building adjacent to the northern edge of the original Hartwell project site.
Prior Approval
The original Hartwell project (Master Case 24-134), consisting of the delisting and demolition of the historic Masonic Lodge/Courthouse building and the construction of a new five-story mixed- use building at 52 feet in height with 78 apartment units and 5,223 square feet of commercial floor area, was approved by the City Council on May 13, 2025. Following this, the applicant has applied for a demolition permit, which is estimated to be issued by the end of August. The Rafters AA Group has begun removing items and will be given their allotted 30 days to remove any desired interior finish carpentry once the demolition permit is issued, per a condition added by the City Council. Staff have met with the applicant on site of the Masonic Lodge/Courthouse building and identified that the holding cell bars are limited to a window. The bars will be removed and preserved before demolition.
On June 12, 2025, the City of Santa Clarita (City) received an application to modify the Hartwell project. The application was deemed complete on July 28, 2025.
GENERAL PLAN, ZONING, AND LAND USES
The project site has a General Plan designation of Specific Plan, is located within the OTNSP, and has a zoning designation of AE zone under the OTNSP, which is applied to the central portions of Old Town Newhall, generally aligned with Main Street. The zone intends to promote a mixed-use, walkable neighborhood, with commercial uses along Main Street on the ground floor and residential units on the upper floors. The project site is surrounded by commercial uses (e.g., restaurant and retail use) to the north, west, and south, and the Metrolink station to the east.
PROJECT DESCRIPTION
Development Proposal
The applicant is proposing to modify the Hartwell project, as shown in Table 1 on the following page.
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Table 1 - Original Approval Compared to Proposed Modification Original Approval Proposed Modification Increase
Apartment Units 78 98 +20
Commercial Square
Footage
5,223 6,300 +1,077
Parking Stalls On-Site 122 158 +36
The building's architectural style and height would remain the same as the original approval, at five stories (52 feet) in height, with one subterranean level of parking. Commercial storefronts along Main Street would be expanded to the north, with parking behind, within the building footprint. Apartment units would be located on the upper levels and oriented around an internal courtyard located on the second floor. Vehicle access to the project site would remain via two driveways: one on Railroad Avenue and one on Market Street.
Staff has reviewed the project for compliance with the Santa Clarita Municipal Code (SCMC), and the project complies with all objective design standards. This project is subject to the provisions of the State Housing Accountability Act (HAA). A housing or mixed-use project that is consistent with the objective standards in the SCMC must be approved. Further, under the HAA the City must notify an applicant of any objective standards that the project does not meet within thirty days of the project application being deemed complete. If no notice is given by that deadline, the project is deemed consistent with the City’s objective criteria.
Parking
The original Hartwell project provided less parking than required by the SCMC, as the developer invoked the provisions of Assembly Bill 2097 (AB 2097). Under AB 2097, the City is generally prohibited from imposing parking minimums on projects within a half-mile of a major transit stop, unless the project would have a substantially negative impact on existing residential or commercial parking. Pursuant to SCMC section 17.51.060(N)(4), a parking demand study must be provided to demonstrate that a reduction in parking below the SCMC’s requirements would not create a substantially negative impact and to identify the amount of on-site parking required to prevent such an impact. The original approval demonstrated that sufficient on-site and public on-street parking was available to meet the project’s demand.
This proposed modification to the Hartwell project also invokes AB 2097, providing less parking than required by the SCMC. Therefore, the applicant submitted a revised parking demand study for the proposed modification.
The revised parking demand analysis demonstrates that the project’s on-site parking supply is adequate to accommodate the project’s needs, as summarized in Table 2 below. Specifically,
1. Residential parking demand will be met through new parking spaces provided on-site.
The new portion of the project would provide 1.8 parking stalls per added unit for a total per-unit ratio of 1.61 (previously 1.56);
2. Commercial parking requirements will be met through participation in the OTNSP’s Parking In-Lieu Fee Program, adding three spaces to the originally approved 12 for a total of 15 spaces; and
3. Guest parking remains proposed at a ratio of 0.25 spaces per unit, resulting in a 25-space requirement. As originally proposed, guest parking will be met using available on-street parking stalls. The study area of available on-street parking stalls was expanded to reflect the project modification, and new counts were conducted during the weekend peak hour concurrently with an event at the Canyon Theater Guild in order to capture the highest parking demand conditions. Analysis results indicate that, after incorporating the project’s peak-hour guest parking demand, an estimated surplus of 20 on-street spaces remained available, and, if expanded to a half-mile beyond the site, additional parking would be available.
Table 2 - Project Parking Requirements
Original
Approval
Proposed
Modification
Change
Resident Parking Parking Stalls 122 158 +36
Stalls per Unit 1.56 1.61 +.05
Guest Parking Stalls 20 25 +5
Stalls per Unit 0.25 0.25 0
Commercial
Parking
Stalls 1 12 15 +3
1 Provided via OTNSP’s Parking In Lieu Fee Program
As described above, the City cannot require parking minimums under AB 2097 unless there are substantial negative impacts on surrounding parking based on preponderance of evidence in the record. The City conducted a parking study of the Old Town Newhall Specific Plan area in 2015, and re-evaluated that study in 2022. The City’s survey evaluated the available public and private parking supply within the entire 22-block OTNSP and evaluated the parking supply in the 15- block Main Street subarea. The applicant studied a 4-block area surrounding their project site.
Based upon the City’s own parking study and the applicant’s parking study for the project modification, the requirements of AB 2097 appear to be met.
Proposed Entitlements
Implementation of the Project will require the approval of the following entitlements:
Minor Use Permit 25-014
Required to modify a conditionally approved project involving a cumulative expansion of 10 to 50 percent of the approved building area. The approximately 25 percent expansion requires an MUP and could typically be reviewed by the director. Given the prior action by the City Council on the Hartwell project, the project is being presented to the Council for consideration.
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Development Review 24-009
Required to ensure that the project and site plan comply with the SCMC, the General Plan, and OTNSP.
ENVIRONMENTAL
The project was contemplated under the OTNSP Final Environmental Impact Report (FEIR). As described, the project will comply with all required mitigation measures to ensure compliance with the FEIR. No further action under the California Environmental Quality Act is required. A new Notice of Determination was prepared for the Project.
NOTICING
All notices as required by law were completed. Property owners and occupants within a 1,000- foot radius of the project site were notified of the public hearing by mail. A public notice was placed in The Signal newspaper on August 5, 2025, and a sign was posted on the Project site on April 12, 2025. As of the writing of this agenda report and issuance of the public notice for this City Council hearing, no comment letters have been received.
CONCLUSION
The modification to the Hartwell project is consistent with the provisions outlined in the General Plan, SCMC, and OTNSP. The proposed modification does not include any proposed changes to the previous approval for the demolition of the historic Masonic Lodge/Courthouse. Therefore, staff recommends the City Council adopt a resolution approving Master Case 25-089 (MUP25- 014 and DR25-009) for the modification of the Hartwell Mixed Use Project, located at the corner of Main Street, Market Street, and Railroad Avenue, subject to the attached Conditions of Approval (Exhibit A).
ALTERNATIVE ACTION
Other action as determined by the City Council.
FISCAL IMPACT
There is no impact to the General Fund. The applicant would be required to pay various development impact fees, without limitation, Bridge and Thoroughfare and park dedication (Quimby) fees.
ATTACHMENTS
Public Hearing Notice
Resolution and Conditions
Aerial and Zoning Map
Site & Floor Plans
Elevations
Parking Demand Study
Notice of Determination
MC24-134 Final Conditions of Approval (available in the City Clerk's reading file)