diff --git a/komodo/cli.py b/komodo/cli.py
index fea04c0b..f47f249b 100755
--- a/komodo/cli.py
+++ b/komodo/cli.py
@@ -20,8 +20,8 @@
 from komodo.yaml_file_types import ReleaseFile, RepositoryFile
 
 # If this package is included in a build, it will always
-# be installed as the last pip package
-LAST_PIP_PACKAGE_TO_INSTALL = "komodo-shims"
+# be installed as the last package, and directly from downloaded source code
+LAST_PACKAGE_TO_INSTALL = "komodo-shims"
 
 
 class KomodoNamespace(argparse.Namespace):
@@ -266,6 +266,29 @@ def apply_fallback_tmpdir_for_pip_if_set(tmp_dir: Optional[str] = None):
         os.environ["TMPDIR"] = tmp_dir
 
 
+@profile_time("pip install komodo-shims")
+def install_komodo_shims(
+    komodo_shims_name: str,
+    komodo_shims_version: str,
+    downloads_directory: str,
+    pip_executable: str,
+    release_root: Path,
+) -> None:
+    cmd = [
+        pip_executable,
+        (
+            f"install {downloads_directory}/{komodo_shims_name}-"
+            f"{strip_version(komodo_shims_version)}"
+        ),
+        "--prefix",
+        str(release_root),
+        "--no-deps",
+        "--ignore-installed",
+        "--no-compile",
+    ]
+    print(shell(cmd))
+
+
 @profile_time("pip install to final destination")
 def install_previously_downloaded_pip_packages(
     release_file_content: Mapping[str, str],
@@ -292,11 +315,9 @@ def pip_shell_command(
             makeopts,
         ]
 
-    komodo_shims: Optional[Tuple[str, str]] = None
     for pkg, ver in release_file_content.items():
-        if pkg == LAST_PIP_PACKAGE_TO_INSTALL:
+        if pkg == LAST_PACKAGE_TO_INSTALL:
             # This is a magic package name that will always be installed after all other pip packages if found.
-            komodo_shims = (pkg, ver)
             continue
         pkg_data = repository_file_content[pkg][ver]
         if pkg_data["make"] != "pip":
@@ -307,9 +328,6 @@ def pip_shell_command(
         )
         print(shell(shell_input))
 
-    if komodo_shims is not None:
-        print(shell(pip_shell_command(komodo_shims[0], komodo_shims[1], None)))
-
 
 def run_post_installation_scripts_if_set(
     postinst: Optional[str], release_path: Path
@@ -406,6 +424,25 @@ def _main(args: KomodoNamespace) -> None:
         pip_executable=args.pip,
         release_root=release_root,
     )
+
+    komodo_shims_version = args.pkgs.content.get(LAST_PACKAGE_TO_INSTALL)
+    if komodo_shims_version:
+        assert (
+            args.repo.content[LAST_PACKAGE_TO_INSTALL][komodo_shims_version]["fetch"]
+            == "git"
+        ), "komodo-shims install is only supported with git as fetch method"
+        assert (
+            args.repo.content[LAST_PACKAGE_TO_INSTALL][komodo_shims_version]["make"]
+            == "sh"
+        ), "komodo-shims install is only supported with sh as make method"
+        install_komodo_shims(
+            LAST_PACKAGE_TO_INSTALL,
+            komodo_shims_version,
+            downloads_directory=args.downloads,
+            pip_executable=args.pip,
+            release_root=release_root,
+        )
+
     fixup_python_shebangs(args.prefix, args.release)
 
     komodo.switch.create_activator_switch(data, args.prefix, args.release)
diff --git a/tests/test_cli.py b/tests/test_cli.py
index b0ed9e01..6edc6ab3 100644
--- a/tests/test_cli.py
+++ b/tests/test_cli.py
@@ -7,7 +7,7 @@
 import pytest
 import yaml
 
-from komodo import cli
+from komodo import build, cli
 from komodo.cli import cli_main
 from tests import _get_test_root
 
@@ -259,10 +259,21 @@ def test_komodo_shims_is_installed_at_the_end(tmpdir):
             }
         },
         "komodo-shims": {
-            "1.0.0": {"source": "pypi", "make": "pip", "maintainer": "com"}
+            "1.0.0": {
+                "source": "https://mykey@githøbb.com",
+                "fetch": "git",
+                "make": "sh",
+                "maintainer": "com",
+                "makefile": "setup-py.sh",
+            }
         },
     }
     (Path(tmpdir) / "repository.yml").write_text(yaml.dump(repo), encoding="utf-8")
+
+    # Since we are mocking the shell command to a no-op, we need to mkdir here:
+    (Path(tmpdir) / "downloads" / "komodo-shims-1.0.0").mkdir(parents=True)
+    (Path(tmpdir) / "a_komodo_release_with_shims").mkdir()
+
     sys.argv = [
         "kmd",
         "--workspace",
@@ -271,15 +282,16 @@ def test_komodo_shims_is_installed_at_the_end(tmpdir):
         str(tmpdir / "repository.yml"),
         "--release",
         "a_komodo_release_with_shims",
+        "--overwrite",  # Since we have mkdir()'ed
         "--prefix",
         str(tmpdir),
     ]
 
     mocked_shell = Mock(return_value=b"")
-    mocked_fetch = Mock(return_value={})
+    mocked_fetch = Mock(return_value={"komodo-shims": "main"})
     with patch.object(cli, "shell", mocked_shell), patch.object(
         cli, "fetch", mocked_fetch
-    ):
+    ), patch.object(build, "shell", mocked_shell):
         cli_main()
     pip_install_calls = [
         shell_call