Controversial mixed-use Newhall project listed for $7.5M
It appears that the Santa Clarita City Council’s goal to “revitalize” the south end of Main Street with condos and a parking structure — much the way an upgrade of the north end was approved about 10 years ago — could have hit a delay: The project has been put up for sale, with a listing price of $7.5 million.
After protracted negotiations between the Santa Clarita City Council and Jason Tolleson of the Serrano Development Group — the entity behind Newhall Crossings and a parking structure on the north end of Main Street — the council approved 98 condos and 6,300 square feet of retail space in August.
And now the project is listed for sale, and speculation has begun to circulate in the community.
Jason Tolleson, principal of Serrano Development Group, did not return a call Wednesday.
However, rumors of changes in the deal began to circulate last week, even as the city announced it was making a major investment in a parking structure with Serrano.
The listing, which posted online Wednesday, offers buyers a property entitled for 98 units and 6,500 square feet of retail for $7.5 million, according to crexi.com. The cost comes out to about $39 per square foot.
“The project is designed for 100% market-rate apartments, with no affordable housing requirements, maximizing flexibility and long-term return potential in one of Santa Clarita’s fastest-growing submarkets,” according to the listing.
Previous plan
The city has considered the plan a “full-block demolition,” and Serrano has already moved to clear out Mac’s Pool Supply (24316 Main St.), Horseshoe on Main (24300 Main St.) and the historic Masonic Lodge/Courthouse (22505 Market St.) buildings.
In August, the deal was brought back to the council, after Tolleson agreed to terms with a neighboring radio station, which was adjacent to the plan’s northern border, at 24320 Main St. Tolleson asked the council to remove his historic mitigation fee that was to be paid to the city for the courthouse’s preservation, and instead directed that to the radio station, so 20 more condos could be added to the project.
Then-Mayor Bill Miranda said the deal stunk, but essentially said he was approving it under threat of a lawsuit, and the plan was approved with a 3-0 vote. The legal concern came from Santa Clarita officials reporting that city staff had no identifiable concerns with the city’s objective design standards by the state-required deadline.
Two council members had to recuse themselves due to potential conflicts of interest. Councilman Jason Gibbs accepted a donation of more than $1,000 from Carl and Jeri Goldman, who own the radio station. Then-Mayor Pro Tem Laurene Weste, who owns property near the project and was involved in negotiations with Tolleson, had to recuse herself. Weste is now serving as mayor.
The project has been moving along, with the historic courthouse demolished and signs of construction popping up around the area.
People in the development industry have mentioned concerns about the availability of funding for apartment projects, specifically in California and L.A. County, due to increasing costs for insurance, among other rising costs.
The city has also announced that the 2026-27 city of Santa Clarita budget was expected to spend $26 million in the capital improvement portion, as part of a separate condos-and-parking-lot project for which the city was partnering with Tolleson.
Earlier this year, the city agreed to enter into an exclusive development agreement with Serrano Development Group over the plans.
City officials did not immediately respond to a request for comment regarding whether the latest potential sale could impact the development timeline for Main Street, which has been a decadeslong goal of the city.
