Preheat the oven to 350°F. Line and grease an 11 x 17 inch sheet pan with butter or nonstick spray.
Melt the butter in a medium saucepan over low heat. Stir in the water and cocoa powder, then bring the mixture to a gentle boil. Remove from the heat and let it cool slightly.
Whisk the flour, sugar, baking soda, and salt together in a large mixing bowl.
Add the sour cream and eggs to the dry ingredients and mix until smooth. ****This can be dry if your eggs are on the smaller. Just mix it as best you can. It will all work out once the cooled cocoa mixture is added.
Pour the slightly cooled cocoa mixture into the bowl and whisk or stir until the batter is fully combined and no dry streaks remain.
Pour the batter into the prepared sheet pan and spread it into an even layer. Bake for about 20 minutes, or until a toothpick inserted into the center comes out clean or with a few moist crumbs.
Make the chocolate frosting while the cake bakes. Add the cocoa powder, milk, and butter to a saucepan and heat over medium heat until it comes to a gentle boil. Remove from the heat.
Whisk in the powdered sugar and vanilla until the frosting is smooth and glossy.
Pour the warm Chocolate frosting over the warm cake and spread it out quickly into an even layer. Sprinkle with walnuts and let it set. Slice into squares and serve.