The deadly shooting happened around 11 a.m. on Figueroa Street near 87th.
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Police say the victim was sitting behind the wheel of a car in the middle of the street when the gunman approached him on foot. They exchanged words and then the gunman shot and killed the driver and fled on foot.
A female passenger in the car sustained minor injuries but was not struck directly by gunfire, police say.
A nearby elementary school was temporarily placed on lockdown after the shooting was reported.
A section of Figueroa was blocked off for hours as officers investigated.
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The suspect remains on the loose. He was described as a man around 20 years old, with black hair and brown eyes, 5 foot 6 and 130 pounds. He is believed to have been wearing all black clothing. He was last seen heading westbound on 87th.
CORRECTION: This story was updated to indicate that one person was killed in the shooting.