diff --git a/docs/commands.md b/docs/commands.md
index 2a529cf..b4481d3 100644
--- a/docs/commands.md
+++ b/docs/commands.md
@@ -139,7 +139,7 @@ Press `m` to toggle the "in use" tag, marked `◆`. In state mode, tagged tasks
 
 Press `M` to select the next tagged task in dashboard order, wrapping after the last. With no tagged tasks, the selection is unchanged; with one, that task is selected.
 
-In custom mode only, a new command is assigned the selected task's group, through both `n` and the `@` picker. The destination is shown in the spawn prompt as `❯ dir ▸ group ▸ command`, each segment present only when it applies: the dir segment for a non-default directory, the group segment when a group will be inherited. New tasks are unassigned in state and dir modes.
+In custom mode only, a new command is assigned the selected task's group, through both `n` and the `@` picker. The destination is shown in the spawn prompt as `❯ dir ▸ group ▸ command`, each segment present only when it applies: the dir segment for a non-default directory, the group segment when a group will be inherited. New tasks are unassigned in state and dir modes. In dir mode, `n` instead opens in the selected task's directory; the `@` picker is unaffected.
 
 #### The flagship
 
diff --git a/src/app.rs b/src/app.rs
index efe260d..a9692c7 100644
--- a/src/app.rs
+++ b/src/app.rs
@@ -226,9 +226,9 @@ pub struct App {
     pub mode: Mode,
     pub group_mode: GroupMode,
     pub input: EditBuffer,
-    /// Directory a typed command or a picked agent launches in. Set to
-    /// `invocation_dir` for the `n` flow, or to the picked directory for the
-    /// `@` flow.
+    /// Directory a typed command or a picked agent launches in. Set to the
+    /// selected task's directory for the `n` flow in Dir mode, `invocation_dir`
+    /// for the `n` flow otherwise, or the picked directory for the `@` flow.
     pub spawn_cwd: PathBuf,
     /// Group assigned to the next spawn. Custom mode snapshots the selected
     /// task's group; State and Dir modes leave the spawn unassigned.
@@ -1110,6 +1110,15 @@ impl App {
         self.refresh_dir_candidates();
     }
 
+    /// Resolve the `n` spawn directory: the selected task's cwd in Dir mode, else
+    /// `invocation_dir`.
+    fn inherited_dir(&self) -> PathBuf {
+        match (self.group_mode, self.selected_task()) {
+            (GroupMode::Dir, Some(i)) => self.views[i].cwd.clone(),
+            _ => self.invocation_dir.clone(),
+        }
+    }
+
     // --- `g` group picker -------------------------------------------------------
 
     /// Resolve spawn inheritance from the selected task in Custom mode.
@@ -1328,7 +1337,7 @@ impl App {
             KeyCode::Char('/') => self.open_find_palette(),
             // Uppercase R renames; lowercase r reruns.
             KeyCode::Char('R') => self.open_rename_prompt(),
-            KeyCode::Char('n') => self.open_spawn_prompt(self.invocation_dir.clone()),
+            KeyCode::Char('n') => self.open_spawn_prompt(self.inherited_dir()),
             KeyCode::Char('@') => {
                 self.dir_input.clear();
                 self.refresh_dir_candidates();
diff --git a/src/app_tests.rs b/src/app_tests.rs
index 6ebf8e0..bfd2714 100644
--- a/src/app_tests.rs
+++ b/src/app_tests.rs
@@ -2948,6 +2948,35 @@ fn state_and_dir_mode_spawns_stay_unassigned() {
     assert_eq!(v.group, None);
 }
 
+/// In Dir mode, `n` opens in the selected task's directory; State and Custom modes keep
+/// the invocation directory.
+#[test]
+fn dir_mode_spawn_inherits_the_selected_directory() {
+    let mut app = App::new_local(30, 100);
+    let scratch = temp("app_dir_inherit");
+    let (dir, inv) = (scratch.to_path_buf(), app.invocation_dir.clone());
+    app.spawn_in("sleep 5", dir.clone()); // id 1
+
+    for (mode, want) in [
+        (GroupMode::Dir, &dir),
+        (GroupMode::State, &inv),
+        (GroupMode::Custom, &inv),
+    ] {
+        app.group_mode = mode;
+        app.on_key_dashboard(key(KeyCode::Char('n')));
+        assert_eq!(&app.spawn_cwd, want, "{mode:?}");
+        app.on_key_spawn(key(KeyCode::Esc));
+    }
+
+    app.group_mode = GroupMode::Dir;
+    app.on_key_dashboard(key(KeyCode::Char('n')));
+    app.type_spawn("sleep 5");
+    app.on_key_spawn(key(KeyCode::Enter));
+    app.pump();
+    let v = app.views.iter().find(|v| v.id == 2).unwrap();
+    assert_eq!(v.cwd, dir, "the spawn must launch in the inherited directory");
+}
+
 // --- `n` spawn prompt: Agent page --------------------------------------
 
 impl App {