Can degenerative disc disease cause (nerve damage) lack of sensation in the legs or even tingling in the penis?

Maybe--see Dr: 42 isn't that old for DJD to be assumed to be the culprit, and prolonged symptoms may worsen or become irreversible--so see your dr or a neurologist (either for start--after mri, may meet spine surgeon)--asap. Penile issues are often sacral (2-3-4), which could be a stenosis problem? Need MRI to help identify.

Yes: Degenerative disc place a lot pressure on the nerves and you will have the resulting symptom in the areas that those nerves feed.

Unlikely at your age: Degenerative disc disease would have to be advanced resulting in narrowing of the openings where the nerves exit or possibly even some slippage on one on another. These findings are often seen later in life. Tingling in the penis would not be common. I would look for another cause of your symptoms.