AutoZone Ground Lease Market Report 2026: Cap Rates, Rent Trends, and Owner Takeaways

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AutoZone ground leases continue to attract strong interest from net lease buyers, even while many retail investment categories are being underwritten more carefully. Our AutoZone Market Report reviewed 21 new-construction AutoZone ground leases built in 2023 or later, including 15 sold properties and 6 active listings. The data shows average sold cap rates compressing from 4.68% in 2024 to 4.66% in 2025 and 4.49% in 2026. Current on-market asking cap rates are also averaging about 4.49%, which suggests buyers and sellers are becoming more aligned on value.

The demand makes sense. AutoZone is a large, established auto parts retailer with investment-grade credit and a growing store base. Autozone is 100% corporately-operated, with no franchisees. AutoZone’s 2025 Annual Report listed $18.94 billion in net sales and 7,657 total stores at fiscal year-end, while its Q3 FY2026 release reported 7,856 total stores and 82 new stores opened during the quarter.

Although many people have heard that "we only purchase", a quick review of the on-markets will show you that AZO will ground lease when the market requires it.

For property owners, the key takeaway is simple: new-construction AutoZone ground leases remain one of the more liquid, bite-sized net lease assets in today’s market. Average ground rent per site in the report was $78,796, and most deals traded below $2 million, making them accessible to a wide buyer pool. Still, rent is not unlimited. AutoZone’s willingness to pay ground rent depends on store-level economics, access, visibility, parking, and trade area strength.

If you're entering an AutoZone ground lease negotiation—the difference between an average outcome and an optimal one often comes down to understanding current execution data, store-level economics, and where AutoZone has flexibility. That's where we can help. If you'd like to put our market knowledge and transaction experience to work on your deal, reach out to us directly. We'd welcome the opportunity to represent you and help you negotiate from a position of strength.

Stephen Long, Senior Investment Analyst

Jonathan Aceves, Vice President, CCIM, MBA