diff --git a/build/templates/Makefile.in b/build/templates/Makefile.in
index bb47229..39b2e0a 100644
--- a/build/templates/Makefile.in
+++ b/build/templates/Makefile.in
@@ -10,6 +10,7 @@ EXE           = @exe@
 BUILD_DIR     = @build_dir@
 LIBRARY_DIR   = $(BUILD_DIR)/runtime/parrot/library
 PMC_DIR       = src/pmc
+DYNEXT_DIR    = dynext
 
 # Set up commands
 MAKE          = @make_c@
@@ -20,7 +21,7 @@ NQP           = $(BUILD_DIR)/compilers/nqp/nqp.pbc
 PCT           = $(BUILD_DIR)/runtime/parrot/library/PCT.pbc
 PBC_TO_EXE    = $(BUILD_DIR)/pbc_to_exe$(EXE)
 
-PIPP_GROUP    = $(PMC_DIR)/pipp_group$(LOAD_EXT)
+PIPP_GROUP    = $(DYNEXT_DIR)/pipp_group$(LOAD_EXT)
 
 PMC_DEPS      = \
   $(PMC_DIR)/php.pmc \
diff --git a/build/templates/src/pmc/Makefile.in b/build/templates/src/pmc/Makefile.in
index fb65a2b..632dea9 100644
--- a/build/templates/src/pmc/Makefile.in
+++ b/build/templates/src/pmc/Makefile.in
@@ -10,13 +10,13 @@ CFLAGS        = @ccflags@ @cc_shared@ @cc_debug@ @ccwarn@ @cc_hasjit@ @cg_flag@
 # Set up directories
 BUILD_DIR     = @build_dir@
 INCLUDE_DIR   = $(BUILD_DIR)/include
-PARROT_DYNEXT = $(BUILD_DIR)/runtime/parrot/dynext
+DYNEXT_DIR    = ../../dynext
 
 # Set up extensions
 LOAD_EXT      = @load_ext@
 O             = @o@
 
-PIPP_GROUP    = pipp_group$(LOAD_EXT)
+PIPP_GROUP    = $(DYNEXT_DIR)/pipp_group$(LOAD_EXT)
 
 PMCS          = \
   php \
@@ -60,7 +60,7 @@ $(PIPP_GROUP): $(PMC_SOURCES)
 	$(PMCBUILD) generate $(PMCS)
 	$(PMCBUILD) compile $(PMCS)
 	$(PMCBUILD) linklibs $(PMCS)
-	$(PMCBUILD) copy "--destination=$(PARROT_DYNEXT)" $(PMCS)
+	$(PMCBUILD) copy "--destination=$(DYNEXT_DIR)" $(PMCS)
 
 # cleaning up
 clean:
diff --git a/dynext/.gitignore b/dynext/.gitignore
new file mode 100644
index 0000000..ecf7ddd
--- /dev/null
+++ b/dynext/.gitignore
@@ -0,0 +1 @@
+pipp_group.so