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These  several visits  to  the  Newhall property made  clear the following
                  facts:

                        1.   The  land is  admirably suited to  a  planned community de-
                             velopment.  Drainage is  good  and the  terrain is  level or
                             gently rolling.

                        2.   Adequate  utilities  and water are available  to  serve the  po-
                             tential development.  Water  is  not in abundant  supply,  but
                             it appears that the  Company has  developed enough water
                             resources  to  support an integrated community of  about
                             50, 000  people.


                        3.   Good highway and  rail facilities  connect the  Newhall proper-
                             ties with Los  Angeles  and the  other  major metropolitan
                             centers  of the  West.

                                                                               .;#'
                        4.   The  unincorporated towns  of  Newhall and Saugus,  adjacent
                             to  the  Newhall  Land and Farming Company property,  can
                             be  considered in the  main as  areas  of  residential blight.
                             Inadequate  zoning  restrictions,  water  supply,  and  sewage
                             disposal facilities,  supply of undeveloped land,  and indus-
                             trial base have  retarded the  orderly growth of  the  towns
                             and,  to  an extent,  have  caused the poor  housing  conditions
                             that exist there  today.


                        5.   The  present labor market in the  Newhall,  Saugus,  Castaic
                             Junction area is  limited.

                        6.   About  200  additional jobs  will become  available  in the  area
                             with the  completion of three facilities  now under  construction:
                             the  Los  Angeles  Police Department Farm for  alcoholics,  the
                             Texas  Company's  gasoline plant,  and the  Thatcher  Glass
                             Plant.

                        7 .   There  is  only one  new residential housing development in
                             the  area,  the  Bonelli  Tract.  It has  been successful.  The  55
                             homes  in this  subdivision are of  good  quality and well main-
                             tained.


                        As  a  part of  its field work,  Stanford Research Institute  personnel
                  contacted  several local businessmen to  get pertinent data  on the  current
                  economic  status  of the area.  These  data arid the  above listed facts form
                  the  basic framework within which the  study was  carried out.

                        In later  stages  of the  project,  area development in  Los  Angeles  and
                  Orange  Counties,  particularly in the  San Fernando Valley,  was  studied
                  in  subsequent field work.




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