diff --git a/soong_ui.bash b/soong_ui.bash
index e1af359f4..e3997cf45 100755
--- a/soong_ui.bash
+++ b/soong_ui.bash
@@ -57,7 +57,15 @@ function run_go
 
     local mf_src="${TOP}/build/soong/cmd/microfactory"
 
-    local out_dir="${OUT_DIR:-${TOP}/out}"
+    local out_dir="${OUT_DIR-}"
+    if [ -z "${out_dir}" ]; then
+        if [ "${OUT_DIR_COMMON_BASE-}" ]; then
+            out_dir="${OUT_DIR_COMMON_BASE}/$(basename ${TOP})"
+        else
+            out_dir="${TOP}/out"
+        fi
+    fi
+
     local mf_bin="${out_dir}/microfactory_$(uname)"
     local mf_version_file="${out_dir}/.microfactory_$(uname)_version"
     local soong_ui_bin="${out_dir}/soong_ui"
diff --git a/ui/build/config.go b/ui/build/config.go
index 4853643cc..9a8a3fb3d 100644
--- a/ui/build/config.go
+++ b/ui/build/config.go
@@ -50,6 +50,19 @@ func NewConfig(ctx Context, args ...string) Config {
 		environ: OsEnvironment(),
 	}
 
+	// Make sure OUT_DIR is set appropriately
+	if _, ok := ret.environ.Get("OUT_DIR"); !ok {
+		outDir := "out"
+		if baseDir, ok := ret.environ.Get("OUT_DIR_COMMON_BASE"); ok {
+			if wd, err := os.Getwd(); err != nil {
+				ctx.Fatalln("Failed to get working directory:", err)
+			} else {
+				outDir = filepath.Join(baseDir, filepath.Base(wd))
+			}
+		}
+		ret.environ.Set("OUT_DIR", outDir)
+	}
+
 	ret.environ.Unset(
 		// We're already using it
 		"USE_SOONG_UI",
@@ -67,6 +80,9 @@ func NewConfig(ctx Context, args ...string) Config {
 		// Used by the goma compiler wrapper, but should only be set by
 		// gomacc
 		"GOMACC_PATH",
+
+		// We handle this above
+		"OUT_DIR_COMMON_BASE",
 	)
 
 	// Tell python not to spam the source tree with .pyc files.