diff --git a/Lake/Load/Main.lean b/Lake/Load/Main.lean
index c5502c2b0d..223fdbede8 100644
--- a/Lake/Load/Main.lean
+++ b/Lake/Load/Main.lean
@@ -49,7 +49,7 @@ def buildUpdatedManifest (ws : Workspace) : LogIO Manifest := do
           for entry in (← Manifest.loadOrEmpty pkg.manifestFile) do
             unless (← getThe (NameMap MaterializeResult)).contains entry.name do
               let entry := entry.inDirectory relPkgDir
-              let result ← materializePackageEntry ws.root entry
+              let result ← materializePackageEntry ws.root.dir ws.root.config.packagesDir entry
               modifyThe (NameMap MaterializeResult) (·.insert entry.name result)
         let deps ← IO.ofExcept <| loadDepsFromEnv pkg.configEnv pkg.leanOpts
         let deps ← deps.mapM fun dep => do
@@ -58,7 +58,7 @@ def buildUpdatedManifest (ws : Workspace) : LogIO Manifest := do
           else
             let depName := dep.name.toString (escape := false)
             let entry ← updateSource relPkgDir ws.root.packagesDir depName dep.src
-            let result ← materializePackageEntry ws.root entry
+            let result ← materializePackageEntry ws.root.dir ws.root.config.packagesDir entry
             modifyThe (NameMap MaterializeResult) (·.insert entry.name result)
             return (dep, result)
         let depPkgs ← deps.mapM fun (dep, result) => do
@@ -106,7 +106,7 @@ def Package.materializeDeps (root : Package) : LogIO Package := do
           let .some entry := manifest.find? dep.name
             | error <| s!"dependency {dep.name} of {pkg.name} not in manifest, " ++
               "use `lake update` to update"
-          let result ← materializePackageEntry root entry
+          let result ← materializePackageEntry root.dir root.config.packagesDir entry
           loadDepPackage pkg result dep
       return { pkg with opaqueDeps := ← depPkgs.mapM (.mk <$> resolve ·) }
   match res with
diff --git a/Lake/Load/Materialize.lean b/Lake/Load/Materialize.lean
index 7522344dc3..fea0e37b86 100644
--- a/Lake/Load/Materialize.lean
+++ b/Lake/Load/Materialize.lean
@@ -66,19 +66,19 @@ structure MaterializeResult where
 /--
 Materializes a package entry, cloning and/or checkout it out as necessary.
 -/
-def materializePackageEntry (rootPkg : Package) (manifestEntry : PackageEntry) : LogIO MaterializeResult :=
+def materializePackageEntry (rootPkgDir packagesDir : FilePath) (manifestEntry : PackageEntry) : LogIO MaterializeResult :=
   match manifestEntry with
   | .path _name pkgDir =>
     return {
-      pkgDir := rootPkg.dir / pkgDir
+      pkgDir := rootPkgDir / pkgDir
       relPkgDir := pkgDir
       remoteUrl? := none
       gitTag? := none
       manifestEntry
     }
   | .git name url rev _inputRev? subDir? => do
-    let relGitDir := rootPkg.config.packagesDir / name
-    let gitDir := rootPkg.dir / relGitDir
+    let relGitDir := packagesDir / name
+    let gitDir := rootPkgDir / relGitDir
     let repo := GitRepo.mk gitDir
     /-
     Do not update (fetch remote) if already on revision
@@ -94,7 +94,7 @@ def materializePackageEntry (rootPkg : Package) (manifestEntry : PackageEntry) :
       updateGitRepo repo url rev name
     let relPkgDir := match subDir? with | .some subDir => relGitDir / subDir | .none => relGitDir
     return {
-      pkgDir := rootPkg.dir / relPkgDir
+      pkgDir := rootPkgDir / relPkgDir
       relPkgDir
       remoteUrl? := url
       gitTag? := ← repo.findTag?