Park Sherman Plans 290-Unit Apartment Project on Former Reseda Walgreens Site

• A vacant Walgreens property at 18340 Sherman Way in Reseda could be redeveloped into a seven-story apartment building with 290 units.
• Developer Park Sherman LLC is seeking density bonus incentives in exchange for setting aside 44 affordable housing units.
• The former pharmacy site has been vacant since 2023 and includes a large surface parking lot.
• The proposal adds to a growing pipeline of multifamily developments reshaping the Sherman Way corridor.

What Is Planned for the Former Walgreens Property

A shuttered Walgreens site in Reseda could soon be transformed into a major mixed-income housing development. Park Sherman LLC, led by developer Ariel Namvar, has filed plans with the Los Angeles Department of City Planning to demolish the vacant pharmacy building at 18340 Sherman Way and replace it with a seven-story residential project containing 290 apartments. The property, which includes a large surface parking lot, has sat vacant since Walgreens closed the location in 2023. The redevelopment would bring new housing to a commercial corridor that is seeing increased investment and revitalization activity.

What the Proposed Development Includes

The project calls for the construction of a seven-story multifamily building with 290 residential units. To increase the allowable density and building height, the developer is seeking incentives through California's density bonus program. As part of the request, 44 units would be reserved for very low-income and moderate-income households. According to current California Department of Housing and Community Development guidelines, very low-income housing for a single person applies to households earning up to $58,300 annually, while moderate-income housing applies to households earning up to $90,800. The affordable housing component allows the project to exceed standard zoning limits while helping address housing shortages in the San Fernando Valley.

What Is Happening Along Sherman Way

The proposal arrives as the Sherman Way corridor experiences a wave of redevelopment activity. One of the most notable nearby projects is Azure Development's plan to convert the long-vacant Reseda Theatre into a food hall and community destination. Located across the street from the former Walgreens property, the project is expected to contribute to the area's ongoing commercial revival. The combination of new housing, adaptive reuse projects, and commercial investment is gradually reshaping a stretch of Reseda that has long contained underutilized properties.

What This Means for Housing Development in Reseda

The Walgreens redevelopment is not the only multifamily project moving forward in the neighborhood. Developers continue to pursue higher-density housing projects throughout Reseda, often utilizing California's density bonus programs to increase project scale while providing affordable units. These incentives have become a key tool for expanding housing production across Los Angeles as the city works to address persistent housing shortages and affordability challenges. If approved, the 290-unit proposal would become one of the larger residential developments currently planned for the community and would replace a vacant retail property with much-needed housing.

What Comes Next for the Project

The development application is currently under review by the Los Angeles Department of City Planning. The project must complete the city's entitlement and approval process before construction can begin. Should the proposal move forward, the redevelopment would transform a long-vacant commercial property into a mixed-income residential community while contributing to the continued evolution of the Sherman Way corridor.