diff --git a/chroot_version_hooks.d/143_rewrite_sdk_make.conf b/chroot_version_hooks.d/143_rewrite_sdk_make.conf
new file mode 100644
index 0000000..9721bff
--- /dev/null
+++ b/chroot_version_hooks.d/143_rewrite_sdk_make.conf
@@ -0,0 +1,12 @@
+# Copyright 2016 The Chromium OS Authors. All rights reserved.
+# Use of this source code is governed by a BSD-style license that can be
+# found in the LICENSE file.
+
+# We've moved around the make.conf used for Chrome OS SDK's (i.e. the internal
+# SDK used by Googlers).
+
+OLD_PATH="/mnt/host/source/src/private-overlays/chromeos-overlay/make.conf"
+NEW_PATH="/mnt/host/source/src/third_party/chromiumos-overlay/chromeos/config/make.conf.sdk-chromeos"
+if grep -qF "${OLD_PATH}" /etc/make.conf.host_setup; then
+  sudo sed -i "s:${OLD_PATH}:${NEW_PATH}:" /etc/make.conf.host_setup
+fi
diff --git a/sdk_lib/make_conf_util.sh b/sdk_lib/make_conf_util.sh
index 272077b..d26a10d 100644
--- a/sdk_lib/make_conf_util.sh
+++ b/sdk_lib/make_conf_util.sh
@@ -63,8 +63,9 @@
   local chromeos_overlay="src/private-overlays/chromeos-overlay"
   chromeos_overlay="${CHROOT_TRUNK_DIR}/${chromeos_overlay}"
 
-  local make_conf="${chromeos_overlay}/make.conf"
-  if [[ -e "${make_conf}" ]]; then
+  if [[ -d "${chromeos_overlay}" ]]; then
+    local make_conf="${CHROOT_TRUNK_DIR}/src/third_party/chromiumos-overlay"
+    make_conf+="/chromeos/config/make.conf.sdk-chromeos"
     echo "source ${make_conf}"
   fi