diff --git a/src/cli/services/path.service.spec.ts b/src/cli/services/path.service.spec.ts
index 46047a84ef..f74d8a107c 100644
--- a/src/cli/services/path.service.spec.ts
+++ b/src/cli/services/path.service.spec.ts
@@ -243,6 +243,22 @@ describe('cli/services/path.service', () => {
     expect(await pathSvc.createDir(dir)).toBeUndefined();
   });
 
+  test('createDir: throws when the path is no folder', async () => {
+    const dir = rootPath('env123/dir');
+    const link = rootPath('env123/link');
+    const file = rootPath('env123/file');
+    await pathSvc.createDir(dir);
+    await fs.symlink(dir, link);
+    await writeFile(file, '');
+
+    await expect(pathSvc.createDir(link)).rejects.toThrow(
+      `Path exists and is not a directory: ${link}`,
+    );
+    await expect(pathSvc.createDir(file)).rejects.toThrow(
+      `Path exists and is not a directory: ${file}`,
+    );
+  });
+
   test('toolInit', async () => {
     expect(pathSvc.toolInitPath('node')).toBe(
       rootPath('tmp/containerbase/tool.init.d/node'),
diff --git a/src/cli/services/path.service.ts b/src/cli/services/path.service.ts
index 8909843c10..033bf48c62 100644
--- a/src/cli/services/path.service.ts
+++ b/src/cli/services/path.service.ts
@@ -112,11 +112,17 @@ export class PathService {
   /**
    * Creates a folder and its missing parents, owned by the configured user.
    * An existing folder is left as is.
+   *
+   * @throws when the path exists but is no folder, eg. a symlink or a file
    */
   async createDir(path: string, mode = 0o775): Promise<void> {
-    if (await pathExists(path)) {
+    const stats = await fs.lstat(path).catch(() => null);
+    if (stats?.isDirectory()) {
       return;
     }
+    if (stats) {
+      throw new Error(`Path exists and is not a directory: ${path}`);
+    }
     const parent = dirname(path);
     if (!(await pathExists(parent))) {
       await this.createDir(parent, 0o775);