diff --git a/src/Orchard.Web/Core/Settings/Services/SiteService.cs b/src/Orchard.Web/Core/Settings/Services/SiteService.cs
index 23d22a8df..d9ec52112 100644
--- a/src/Orchard.Web/Core/Settings/Services/SiteService.cs
+++ b/src/Orchard.Web/Core/Settings/Services/SiteService.cs
@@ -33,6 +33,8 @@ namespace Orchard.Core.Settings.Services {
                     item.Record.SiteName = "My Orchard Project Application";
                     item.Record.PageTitleSeparator = " - ";
                 });
+                // ensure subsequent calls will locate this object
+                _contentManager.Flush();
                 return site;
             }
             return _contentManager.Get<ISite>(record.Id);
diff --git a/src/Orchard.Web/Modules/Orchard.Setup/Controllers/SetupController.cs b/src/Orchard.Web/Modules/Orchard.Setup/Controllers/SetupController.cs
index 7976f7038..6e5327f59 100644
--- a/src/Orchard.Web/Modules/Orchard.Setup/Controllers/SetupController.cs
+++ b/src/Orchard.Web/Modules/Orchard.Setup/Controllers/SetupController.cs
@@ -8,6 +8,7 @@ using Orchard.Data.Migrations;
 using Orchard.Environment;
 using Orchard.Environment.Configuration;
 using Orchard.Security;
+using Orchard.Settings;
 using Orchard.Setup.ViewModels;
 using Orchard.Localization;
 using Orchard.UI.Notify;
@@ -55,24 +56,21 @@ namespace Orchard.Setup.Controllers {
                 // components will exist entirely in isolation - no crossover between the safemode container currently in effect
                 var shellSettings = new ShellSettings { Name = "temp" };
 
-                if (!_shellSettingsLoader.SaveSettings(shellSettings)) {
-                    _notifier.Error(T("Site settings could not be saved. (Name = \"{0}\")", shellSettings.Name));
-                    return Index(model);
-                }
 
                 using (var finiteEnvironment = _orchardHost.CreateStandaloneEnvironment(shellSettings)) {
                     var contentManager = finiteEnvironment.Resolve<IContentManager>();
+
                     // create superuser
                     var membershipService = finiteEnvironment.Resolve<IMembershipService>();
                     var user = membershipService.CreateUser(new CreateUserParams(model.AdminUsername, model.AdminPassword, String.Empty, String.Empty, String.Empty, true));
 
                     // set site name and settings
-                    contentManager.Create<SiteSettings>("site", item => {
-                        item.Record.SiteSalt = Guid.NewGuid().ToString("N");
-                        item.Record.SiteName = model.SiteName;
-                        item.Record.SuperUser = model.AdminUsername;
-                        item.Record.PageTitleSeparator = " - ";
-                    });
+                    var siteService = finiteEnvironment.Resolve<ISiteService>();
+                    var siteSettings = siteService.GetSiteSettings().As<SiteSettings>();
+                    siteSettings.Record.SiteSalt = Guid.NewGuid().ToString("N");
+                    siteSettings.Record.SiteName = model.SiteName;
+                    siteSettings.Record.SuperUser = model.AdminUsername;
+                    siteSettings.Record.PageTitleSeparator = " - ";
 
                     // create home page as a CMS page
                     var page = contentManager.Create("page");
@@ -86,9 +84,15 @@ namespace Orchard.Setup.Controllers {
                     var authenticationService = finiteEnvironment.Resolve<IAuthenticationService>();
                     authenticationService.SignIn(user, true);
 
-                    //_orchardHost.Reinitialize();
                 }
 
+                if (!_shellSettingsLoader.SaveSettings(shellSettings)) {
+                    _notifier.Error(T("Site settings could not be saved. (Name = \"{0}\")", shellSettings.Name));
+                    return Index(model);
+                }
+
+                _orchardHost.Reinitialize();
+
                 _notifier.Information(T("Setup succeeded"));
 
                 // redirect to the welcome page.
diff --git a/src/Orchard/Environment/Configuration/ShellSettingsLoader.cs b/src/Orchard/Environment/Configuration/ShellSettingsLoader.cs
index 535a1f4e5..80fb02fa0 100644
--- a/src/Orchard/Environment/Configuration/ShellSettingsLoader.cs
+++ b/src/Orchard/Environment/Configuration/ShellSettingsLoader.cs
@@ -20,6 +20,9 @@ namespace Orchard.Environment.Configuration {
             if (settings != null && !string.IsNullOrEmpty(settings.Name)) {
                 var sitesPath = HostingEnvironment.MapPath("~/App_Data/Sites");
                 if (sitesPath != null) {
+                    if (!Directory.Exists(sitesPath))
+                        Directory.CreateDirectory(sitesPath);
+
                     var filePath = Path.Combine(sitesPath, string.Format("{0}.txt", settings.Name));
                     File.WriteAllText(filePath, ComposeSettings(settings));
                     return true;