AutoZone continues to demonstrate strong fundamentals in 2025, reinforcing its position as a reliable NNN tenant. The company plans to open 19 new “Mega Hub” stores over the next six months, representing nearly half of its U.S. expansion during that period. These large-format stores are designed to improve distribution efficiency and product availability for commercial clients, further strengthening AutoZone’s dominance in the auto parts sector. As of early 2025, the company operates 7,432 stores globally—6,483 in the U.S., 813 in Mexico, and 136 in Brazil—highlighting its steady international growth. Importantly, no major store closures have been reported this quarter, signaling operational stability and strong market positioning.
For NNN investors, AutoZone’s consistent expansion and lack of store closures point to a well-managed, recession-resistant business. The company’s focus on high-volume hub locations supports better supply chain performance and positions it to serve both retail and commercial demand. Investors should look for properties near high-traffic corridors or dense commercial zones, where Mega Hubs can drive long-term value. Lease structures with corporate guarantees and rent escalations add further appeal. With no major disruptions or restructuring on the horizon, AutoZone remains one of the most dependable tenants in the automotive net lease sector, offering long-term stability and predictable cash flow for landlords.