diff --git a/payloads/libpayload/bin/lp.functions b/payloads/libpayload/bin/lp.functions
index 3911c42a5b..8d784ebbd4 100644
--- a/payloads/libpayload/bin/lp.functions
+++ b/payloads/libpayload/bin/lp.functions
@@ -35,6 +35,10 @@ warn() {
 	echo "Warning: $1"
 }
 
+# For in-tree builds, allow to override the libpayload build dir.
+
+_OBJ=${_OBJ:-$BASE/../build}
+
 # If the user didn't specify LIBPAYLOAD_PREFIX, then preload it
 # with the default prefix value
 
@@ -48,8 +52,8 @@ fi
 
 if [ -f $BASE/../lib/libpayload.a ]; then
 	_LIBDIR=$BASE/../lib
-elif [ -f $BASE/../build/libpayload.a ]; then
-	_LIBDIR=$BASE/../build
+elif [ -f $_OBJ/libpayload.a ]; then
+	_LIBDIR=$_OBJ
 else
 	_LIBDIR=$LIBPAYLOAD_PREFIX/lib
 fi
diff --git a/payloads/libpayload/bin/lpgcc b/payloads/libpayload/bin/lpgcc
index aa09c1d116..1e63d0577e 100755
--- a/payloads/libpayload/bin/lpgcc
+++ b/payloads/libpayload/bin/lpgcc
@@ -137,7 +137,7 @@ while [ $# -gt 0 ]; do
 	shift
 done
 
-_CFLAGS="$_ARCHEXTRA -nostdinc -nostdlib -I$BASE/../build -I$_INCDIR -I$_ARCHINCDIR -D__LIBPAYLOAD__=1"
+_CFLAGS="$_ARCHEXTRA -nostdinc -nostdlib -I$_OBJ -I$_INCDIR -I$_ARCHINCDIR -D__LIBPAYLOAD__=1"
 
 if [ "$CONFIG_LP_PDCURSES" = y ]; then
   _CFLAGS="$_CFLAGS -I$BASE/../curses/PDCurses"
@@ -167,8 +167,8 @@ else
     _LIBGCC=`$DEFAULT_CC $_ARCHEXTRA -print-libgcc-file-name`
     if [ -f $_ARCHLIBDIR/head.o ]; then
 	    HEAD_O=$_ARCHLIBDIR/head.o
-    elif [ -f $BASE/../build/head.o ]; then
-	    HEAD_O=$BASE/../build/head.o
+    elif [ -f $_OBJ/head.o ]; then
+	    HEAD_O=$_OBJ/head.o
     else
 	    echo "Could not find head.o"
 	    exit 1