The proposed Laemmle Theatre project and accompanying mixed-use development and parking structures in Old Town Newhall moved forward after a vote by the Santa Clarita City Council Tuesday night.

The city of Santa Clarita acquired a full city block of property in Old Town Newhall in November 2008, with the vision of constructing a theater, combined with retail space, residential units and a public parking structure, according to Tuesday’s agenda.

The location under discussion is directly across the street from the Old Town Newhall Library and bounded by Lyons Avenue, Railroad Avenue, 9th Street and Main Street.

Greg Laemmle, president of Laemmle Theatres, anticipates the theater in Newhall could draw between 150,000 to 200,000 people per year, according to a previous story.

Proposed architecture of the Laemmle Theatre project.

“There’s an opportunity here to jumpstart the development of what will be an authentic and vibrant environment in Newhall,” said Laemmle.

The Santa Clarita City Council voted 3-1 to move forward with the proposal in two separate motions, Councilman TimBen Boydston being the only council member voting no.

Councilwoman Laurene Weste recused herself from voting on the item, due to the close proximity of her home and the proposed project.

“This is not Regal. This is Laemmle who has a foundation and gives back to their communities,” said Mayor Pro Tem Dante Acosta. “They will be giving back to this community and they are going to be a good citizen of this community, I can assure you that because I asked that of Mr. Laemmle himself… We have the opportunity, I believe, to change the face of Old Town Newhall.”

There are three parts of the proposal that was presented to the Santa Clarita City Council: the Laemmle Theatre project, the mixed-use project and two 400-space parking structures.

The Laemmle Theatre Project is proposed as a two-story, 17,688 square-foot art house theater, with between 475 and 525 seats, and 2,293 square feet of retail space, according to city documents.

Laemmle Theatres will have a 15 year operating agreement, and is required to have six screens in the first seven years of operation. The company has the option of reducing to four screens after seven years.

The proposed mixed-use project will provide an estimated 20,240 square feet of retail space, 46 multi-family units ranging from one bedroom to three bedrooms and public plaza space, according to Tuesday’s agenda.

Also part of the proposal are two 400-space parking structures.

According to a parking study, the current peak demand is at 12:30 p.m. in the redevelopment block, with a demand of 190 spaces in the parking structure, and a surplus of 210 spaces.

The block specific demand is at 8 p.m., according to the study. There was a demand of 245 spaces in the parking structure, and a surplus of 155 spaces.

The cost of the combined project has an estimated $18 million price tag, with approximately $3.4 million going towards the theater project and approximately $15.2 million going towards the parking structure.

The overall developer construction cost of the Laemmle Theatre project is over $8.3 million, according to a presentation made by Jason Crawford, manager of economic development in the city of Santa Clarita.

The city of Santa Clarita will contribute a maximum of $600,000 for site preparation, and a maximum of $400,000 for project fees, Crawford said.

The projected annual economic impact to surrounding businesses is $6.4 million, $5.8 million of which is expected to be spent at local businesses in Old Town Newhall, said Crawford.

The estimated annual revenue to the city of Santa Clarita is $64,000.

The expected impact to Santa Clarita businesses is an estimated $14,570,000 in new, annual taxable sales to businesses.

The city of Santa Clarita would see an estimated increase of $145,700 in annual sales tax revenue and an estimated increase of $44,321 in annual property tax revenue, Crawford said.

The item attracted approximately 40 public speakers at Tuesday night’s meeting, a majority in favor of the project.

Eileen Daniels, a resident of Santa Clarita for approximately 30 years, was one of the speakers in favor of the project.

“I am very excited about the arts district plan. My husband and I often leave Santa Clarita to go to Los Angeles or Pasadena for a night out,” said Daniels. “We would much rather stay right here in our valley to enjoy entertainment and good food. In my opinion, the addition of the Laemmle Theatre would be a huge asset to the Old Town Newhall area… I believe this would bring new businesses to the restaurants, existing theaters and stores along Main Street , as well as helping to make Santa Clarita a tourist destination.”

Along with the public speakers, 103 written comment cards were turned in, all in favor of the project.

The item will come back to the Santa Clarita City Council at an undisclosed date in the future.

The last time the project was in front of the Santa Clarita City Council was on July 14, 2015, where a total of 20 residents voiced their opinions, all in favor of the project.