For Sale Lot / Land MLS# 26998707

13840 Sherman Way

Van Nuys, CA 91405

$3,500,000

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About 13840 Sherman Way

We are pleased to present 13840 Sherman Way, a Ready-to-Issue (RTI), 86-unit affordable housing development opportunity situated on approximately 1.05 acres (45,755 square feet) in Van Nuys, California. Offered at $3,500,000, the property presents developers with an opportunity to acquire a fully entitled, permit-ready project at an attractive land basis of $40,698 per approved unit and $76.49 per land square foot.Approved under California's AB 2334 Density Bonus Law and SB 330, the development consists of a four-story, Type V-A wood-frame building totaling approximately 49,972 gross square feet. The approved unit mix includes 21 studios, 50 one-bedroom units, 12 two-bedroom units, and three three-bedroom units. The project incorporates 85 income-restricted residences and one unrestricted manager's unit, along with 57 on-site parking spaces, two elevators, a rooftop deck, and approximately 8,950 square feet of open space.A key investment advantage is the project's advanced entitlement status. The ministerial density bonus approval has been secured, the 55-year affordability covenant was recorded in October 2025, and the Seller will deliver the project RTI at the close of escrow. This substantially reduces entitlement uncertainty and allows the purchaser to advance directly toward construction, subject to final permit issuance.The offering provides a compelling acquisition basis relative to comparable entitled development sites throughout Los Angeles. At $76.49 per land square foot, the property is priced approximately 67% below the $230.63 average of five comparable land transactions presented in the offering memorandum. Based on the projected affordable rent schedules, the completed development is estimated to generate approximately $2.57 million in annual scheduled rental income and $1.72 million in stabilized net operating income, subject to construction, lease-up, operating assumptions, and applicable affordability restrictions.Strategically positioned along Sherman Way, the property benefits from proximity to major employment centers, healthcare facilities, and the planned East San Fernando Valley Light Rail, with a future Sherman Way station approximately 0.8 miles west of the site. With its substantial unit count, recorded approvals, on-site parking, and competitive acquisition basis, 13840 Sherman Way represents an opportunity for affordable housing developers and investors seeking a shovel-ready multifamily project in the San Fernando Valley.

Property details

Property

Type
land
Lot
1.05 ac
List date
Oct 2, 2026

Schools

District
Los Angeles Unified School District

Location

Subdivision
Van Nuys
Neighborhood
Van Nuys

Location

Neighborhood
Van Nuys
School district
Los Angeles Unified School District

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Listed by Filip Niculete, Marcus & Millichap

Listing information is provided by the participating MLS / IDX program and is deemed reliable but not guaranteed. All information should be independently verified. Equal Housing Opportunity.