Investment Overview

Marcus & Millichap is pleased to present the exclusive listing of a brand new construction, fee simple, absolute NNN Dollar General located at N 1st Street in Clayton, New Mexico. Offered at $2,110,526 reflecting a 7.00% cap rate on current annual rent of $147,737, this offering represents a rare opportunity to acquire a long-term passive investment backed by one of America's most recession-resistant retailers. The property features a 12,687 square foot building constructed in 2023 to Dollar General's latest prototype specifications on approximately ±1.01 acres. The lease is structured as a true fee simple absolute NNN with zero landlord responsibilities — the tenant is responsible for all taxes, insurance, and maintenance — making this an ideal mailbox money investment for a 1031 exchange buyer or passive investor. The lease carries a 15-year initial term with approximately 11.5 years of remaining primary term and five successive 5-year renewal options. Rent increases approximately 10% at each option period, growing the investor's yield on cost from 7.00% today to 7.70% at Option 1 and continuing to expand through all five renewal periods — all without any additional capital investment. The lease is corporately guaranteed by Dollar General Corporation, a Fortune 200 company with an investment grade credit rating and over 20,000 locations nationwide, providing investors with exceptional covenant strength and payment certainty. Dollar General has demonstrated consistent performance through multiple economic cycles including the 2008 financial crisis and the COVID-19 pandemic. The discount retail sector continues to benefit from consumer trade-down behavior, and Dollar General's rural market penetration strategy makes this Clayton location well-positioned within its trade area. At $2,110,526 with a 7.00% going-in cap rate, strong corporate credit, zero management obligations, and meaningful built-in rent growth, this asset represents a compelling acquisition for any net lease investor seeking durable passive income.