| S&P Rating | BBB+ |
| Moody’s Rating | Baa2 |
| IG Status | Investment Grade Tenant |
| US Locations | 1,700 |
| Annual Revenue | $20.8B |
| Cap Rate Range | 5.5% – 6.5% |
| Typical Lease Term | 15 years |
| Property Size | 1400-2800 SF |
| Lot Size | 1.0-2.0 acres |
| Price Range | $1.5M – $3.5M |
Business Overview
Murphy USA is a leading operator in the Convenience/Gas sector with significant presence across the United States. The company operates 1,700 locations and generates approximately $20.8B in annual revenue, demonstrating strong market position and operational scale.
As a high-quality tenant for investment-grade NNN real estate portfolios, Murphy USA represents the type of reliable, cash-flowing asset that conservative investors seek. The company’s operational excellence and financial stability make it an attractive counterparty for long-term lease agreements.
For investors evaluating NNN properties, understanding tenant creditworthiness and operational performance is essential. Our comprehensive NNN investing guide covers lease structures, tenant evaluation, and portfolio construction strategies for maximizing risk-adjusted returns.
Lease Structure
Murphy USA typically operates under triple-net (NNN) lease agreements with the following characteristics:
- Lease Term: 15 years
- Renewal Options: Multiple options
- Tenant Guarantee: Corporate
- Annual Escalations: 10% every 5 years
- Tenant Responsibilities: Property taxes, insurance, maintenance, and all operating expenses
NNN lease structures transfer operational management and expense responsibility to the tenant, providing property owners with predictable, relatively passive income. Murphy USA’s operational strength and market position underpin the lease obligations under such agreements.
Cap Rate & Pricing
Murphy USA NNN properties typically trade at the following yield and price levels:
- Cap Rate Range: 5.5% – 6.5%
- Typical Sale Price: $1.5M to $3.5M per property
- Market Demand: High – Strong investor demand for IG tenant properties
- Price Determinants: Location quality, lease term remaining, tenant strength, market conditions
Cap rates reflect the quality of the tenant, underlying real estate, and market conditions. Properties in premier markets command lower cap rates, while secondary markets may offer higher yields. For guidance on evaluating cap rates, pricing dynamics, and market trends, visit our investment grade guide.
Real Estate Footprint
Murphy USA operates 1,700 locations strategically positioned across the United States. The company’s real estate strategy emphasizes high-traffic, accessible sites that drive consistent customer engagement and revenue generation.
Typical Murphy USA property specifications include:
- Building Size: 1400-2800 square feet
- Lot Size: 1.0-2.0 acres per location
- Location Profile: Primary and secondary retail corridors with strong visibility
- Accessibility: Convenient customer access with ample parking
- Design: Optimized for operational efficiency and customer experience
The combination of proven site selection, efficient property design, and strategic market positioning supports Murphy USA’s operational performance and the quality of its leases for NNN investors.
Growth & Expansion
Murphy USA continues expanding through strategic growth initiatives:
Current Strategy: Growing Murphy Express standalone format
The company’s expansion track record demonstrates management’s ability to identify growth opportunities and execute development plans while maintaining operational excellence. This growth trajectory provides Murphy USA with additional lease origination opportunities and supports the long-term stability of existing leases in investor portfolios.
Pros & Cons
| Key Advantages | Investment Considerations |
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Comparable Tenants
| Tenant Name | Sector | Locations | Cap Rate Range |
| Circle K | Convenience/Gas | 14,000+ | 5.5% – 6.5% |
| Casey’s | Convenience/Gas | 2,400+ | 5.5% – 6.5% |
| QuikTrip | Convenience/Gas | 1,000+ | 5.0% – 6.0% |
Frequently Asked Questions
Is Murphy USA an investment-grade tenant?
Yes, Murphy USA maintains investment-grade credit ratings of BBB+ (S&P) and Baa2 (Moody’s), making it a lower-risk investment option.
What cap rates do Murphy USA NNN properties offer?
Typical cap rates for Murphy USA NNN properties range from 5.5% to 6.5%, varying by property location, condition, and current market conditions. Properties in prime markets may trade at the lower end of the range.
What is the typical lease term for Murphy USA properties?
Murphy USA typically operates under 15-year NNN leases with Multiple options. Annual escalations are 10% every 5 years, providing predictable income growth for investors.
How many locations does Murphy USA operate?
Murphy USA operates 1,700 locations across the United States. The company continues expanding its footprint through strategic growth initiatives and market penetration.
Convenience store and fuel station properties carry significant accelerated depreciation potential. Under IRS rules, qualifying gas station and c-store buildings can be classified as 15-year property rather than 39-year, making the entire structure eligible for 100% bonus depreciation in Year 1. Underground storage tanks, fuel dispensing systems, canopy structures, and refrigeration equipment add further reclassification value. See our full analysis: Gas Station and C-Store NNN Bonus Depreciation Guide.
The Only Murphy USA NNN Advisor Whose Fee Comes From the Deal, Not From You
In NNN buyer representation, the listing broker pays the cooperating commission. That means you get a dedicated Murphy USA NNN advisor handling sourcing, underwriting, financing, and closing — and on the majority of transactions, there is no separate fee to you as the buyer.
Here’s what that buys you:
Find It — On-market and off-market Murphy USA NNN properties sourced and underwritten on your behalf. We know which markets are pricing correctly, which listings are overpriced for what the lease actually says, and where the spread is worth the move.
Fund It — Acquisition financing through 150+ lender relationships: life companies, CMBS, regional banks, and credit unions that know Murphy USA-grade paper. Not the first approval that comes back. The best terms on the table for this specific credit and lease structure.
Exit It — Selling a Murphy USA asset or repositioning through a 1031? Our Capital Markets desk runs a quiet, targeted process. Private investors, family offices, and institutional buyers who are actively acquiring Murphy USA net lease — not a public blast that signals desperation to the market.
Not committed to Murphy USA? Tell us your criteria — cap rate floor, credit tier, lease structure, geography, equity check size — and we’ll find the deal that fits. We represent investors across the full NNN credit spectrum, from QSR and pharmacy to industrial, medical, and big box retail. The tenant is a variable. Your criteria is the constant.
Get Your Free Murphy USA NNN Consultation →
In a 1031 exchange with a deadline? Tell us your timeline — we move faster.
Related NNN Tenants
Own a Murphy USA Property? Capital Markets Strategies Beyond Selling
Maturing debt and considering refinancing? Our capital markets team maintains 150+ lender relationships underwriting NNN properties across investment-grade and non-investment-grade credit tiers. We structure rate-and-term refinancing, cash-out refis, and bridge-to-perm takeouts.
Evaluating a 1031 exchange or disposition? We represent both sides of Murphy USA NNN transactions — whether you are looking to exit at peak value, exchange into a higher-quality credit tenant, or reposition within the same sector.
Need a current valuation? We maintain live comps on Murphy USA NNN transactions and can produce a Broker Opinion of Value within 48 hours reflecting today’s cap rate market.
