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Sherman Oaks- A Timeless Neighborhood Perfect For An ADU

Updated: 4 days ago

Sherman Oaks is an LA neighborhood that is both perfect for suburban family oriented residents as well as young professionals. It features the Sherman Oaks Galleria as well as Westfield Fashion Square. In Sherman Oaks, you can find all types of people: families, writers, actors, dancers, the young, old and everyone in between. The things to do and see in Sherman Oaks are definitely tailored to this diverse population. There is something for everyone to enjoy. Building an ADU (accessory dwelling unit) in Sherman Oaks will increase your current property value by $160,000 - $300,000.


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Accessory dwelling units in Sherman Oaks

Why is the market for ADU’s trending In Sherman Oaks?

1. Shopping and Restaurants.

Sherman Oaks Galleria

Definitely one of the most notable aspects of the city, the Galleria ArcLight Cinemas, 24 Hour Fitness, Paul Mitchell Hair School, Burke Williams Spa, many restaurants and shops as well. The Galleria is a great place to meet friends, hang out, and take advantage of all the stores and activities that it has to offer, right on Ventura Blvd.

Westfield Fashion Square

If you’re looking to update your style, the Fashion Square is the place for you. This beautiful modern mall has stores such as Forever 21, Bloomingdales, Macy’s, and a diverse food court.

2. Fun and Games

Not only is Sherman Oaks home to Castle Park, a mini golfing and arcade mecca, but it also has numerous billiard houses. Ultrazone Laser Tag is another fun place to go out with friends and have the time of your lives. Want to grab a few drinks then shoot some pool? House of Billiards is the place for you. Sherman Oaks is home to activities for friends, family, and even date nights.

3. Affordability

ADU’s are small living units that are usually between 200-1200 square feet. Since September 2020 the state of California has made it easier for home owners to permit and build new units. Why? Because it works. The housing shortage is finally being privatized and its single family home owners that will finally win. Not only are homeowners looking to build more ADU’s in the area, but renters are looking for more private alternatives to apartments in which they can have their own personal space. Rather than paying rent for a small apartment, a tenant would prefer having their own small home. As a homeowner in the area, making an investment in building an ADU will pay off as tenants are ready to move in.

Sherman Oaks Demographics

With a population of 70,000 people and 31,000 housing units that were built before 2010, it makes sense that ADU’s built after 2018 are so sought after due to their affordability as well as modern build.

  • Median Income - $69,000

  • Median Age - 38 years old

  • Average Home Price - $750,000


How Much Can I Rent An ADU In Sherman Oaks For In Today’s Market?

The average ADU in Sherman Oaks rent for about:

  • Studio ADU- $1500/m

  • 1 Bed 1 Bath ADU- $1800/m

  • 2 bed 2 bath ADU- $2500/m

  • 3 bed 3 bath ADU- $3000/m

ADU walkability score in Sherman Oaks

The ADU walkability score is measured by walking distance from your new ADU to these attractions, the closer you are to these Sherman Oaks locations the more your future tenant will pay for rent.

Ofri Peretz (818) 569 - 9947 actively looks for homes with ADU potential. She also had multiple homes sell for over asking in Sherman Oaks before and after the unit was built. When renting out your newly built ADU, hiring a realtor can make the process a breeze. When an agent is hired, they can create a listing for you, help check out the applicants, and manage the other aspects of renting so you don’t have to worry about it. A realtor may also increase the amount of rent you can receive monthly for your ADU.

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Neo Builders Inc. is an experienced construction company with a specialty in building ADU’s. Building an ADU with Neo Builders will increase your monthly cash flow in a stress free and organized process.


Don’t wait, make the call today for a step towards financial freedom. An initial consultation and quote are totally FREE of charge.


For All Your ADU Needs

NEO Builders Inc.

(818) 300 2666

3940 Laurel Canyon, Studio City #394, 91604

License #: 1061134

Local Neighborhoods for ADUs and Garage Conversions



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