Dig spots do not spawn until their appropriate paper is picked up. Upon picking up a Dig Spot note, a shovel icon will appear on the map to indicate its location. A Shovel is needed to unearth the chest.
Dig spot notes are most commonly found in Rubble Piles, furniture or as quest rewards. In the Garden District, they may also be found in secluded areas, watched over by a wastrel. Upon taking the note, the wastrel will turn hostile and attack the player. It is recommended that the wastrel be choked out, allowing the player to loot the wastrel in addition to note.