diff --git a/rootdir/init.rc b/rootdir/init.rc
index 4d34b67d3..b78032d48 100644
--- a/rootdir/init.rc
+++ b/rootdir/init.rc
@@ -532,6 +532,7 @@ on post-fs-data
     mkdir /data/misc/profiles/ref 0771 system system
     mkdir /data/misc/profman 0770 system shell
     mkdir /data/misc/gcov 0770 root root
+    mkdir /data/misc/installd 0700 root root
 
     mkdir /data/preloads 0775 system system
 
diff --git a/sdcard/sdcard.cpp b/sdcard/sdcard.cpp
index 2b358197a..622de5b7a 100644
--- a/sdcard/sdcard.cpp
+++ b/sdcard/sdcard.cpp
@@ -315,7 +315,8 @@ int main(int argc, char **argv) {
         PLOG(ERROR) << "setting RLIMIT_NOFILE failed";
     }
 
-    while ((fs_read_atomic_int("/data/.layout_version", &fs_version) == -1) || (fs_version < 3)) {
+    while ((fs_read_atomic_int("/data/misc/installd/layout_version", &fs_version) == -1) ||
+           (fs_version < 3)) {
         LOG(ERROR) << "installd fs upgrade not yet complete; waiting...";
         sleep(1);
     }