diff --git a/tools/tools/nanobsd/embedded/common b/tools/tools/nanobsd/embedded/common
index d10a36f35a92..9e02dccafe9d 100644
--- a/tools/tools/nanobsd/embedded/common
+++ b/tools/tools/nanobsd/embedded/common
@@ -88,23 +88,30 @@ NANO_CFG_BASE=$(pwd)
 NANO_CFG_BASE=$(realpath ${NANO_CFG_BASE}/..)
 NANO_SRC=$(realpath ${NANO_CFG_BASE}/../../..)
 #### XXX share obj 
-NANO_OBJ=${NANO_SRC}/../$NANO_NAME/obj
-# Where cust_pkg() finds packages to install
-#XXX: Is this the right place?
-#NANO_PORTS=$(realpath ${NANO_SRC}/../ports)
-NANO_PORTS=/usr/ports
-NANO_PACKAGE_DIR=${NANO_SRC}/${NANO_TOOLS}/Pkg
+if [ -z ${NANO_CPUTYPE} ]; then
+	NANO_OBJ=${NANO_SRC}/../embedded/obj
+else
+	# Alas, I can't set OBJTREE to ${MACHINE}.${MACHINE_ARCH}.${CPUTYPE}
+	# so this will have to do until I can.
+	NANO_OBJ=${NANO_SRC}/../embedded/obj.${NANO_CPUTYPE}
+fi
+NANO_LOG=${NANO_OBJ}/../${NANO_NAME}
+NANO_DISKIMGDIR=${NANO_OBJ}/../images
+NANO_WORLDDIR=${NANO_LOG}/_.w
 NANO_INIT_IMG2=0
 NANO_NOPRIV_BUILD=t
 unset MAKEOBJDIRPREFIX
 
-# this to go into nanobsd.sh
-NANO_PORTS=${NANO_PORTS:-/usr/ports}
-
 mkdir -p ${NANO_OBJ}
 NANO_OBJ=$(realpath ${NANO_OBJ})
+mkdir -p ${NANO_LOG}
+NANO_LOG=$(realpath ${NANO_LOG})
+mkdir -p ${NANO_IMAGES}
+NANO_IMAGES=$(realpath ${NANO_IMAGES})
+mkdir -p ${NANO_WORLDDIR}
+NANO_WORLDDIR=$(realpath ${NANO_WORLDDIR})
 
-NANO_FAT_DIR=${NANO_OBJ}/_.fat
+NANO_FAT_DIR=${NANO_LOG}/_.fat
 
 customize_cmd cust_allow_ssh_root
 
@@ -191,7 +198,7 @@ create_diskimage_gpt ( ) (
 create_diskimage_mbr ( ) (
 
 	pprint 2 "build diskimage ${NANO_NAME}"
-	pprint 3 "log: ${NANO_OBJ}/_.di"
+	pprint 3 "log: ${NANO_LOG}/_.di"
 
 	(
 	local extra i sz fmt fmtarg bootmbr bootbsd skiparg
@@ -204,36 +211,36 @@ create_diskimage_mbr ( ) (
 	skiparg=${NANO_MBR_FIRST_SKIP:+-S ${NANO_MBR_FIRST_SKIP}}
 
 	for i in s1 s2 s3 s4 p1 p2 p3 p4 p5 empty; do
-		rm -fr ${NANO_OBJ}/_.${i}*
+		rm -fr ${NANO_LOG}/_.${i}*
 	done
 
 	# Populate the FAT partition, if needed
 	if [ -n "${NANO_SLICE_FAT}" ]; then
 		echo Creating MSDOS partition for kernel
 		newfs_msdos -C ${NANO_SLICE_FAT_SIZE} -F 16 -L ${NANO_NAME} \
-			${NANO_OBJ}/_.${NANO_SLICE_FAT}
+			${NANO_LOG}/_.${NANO_SLICE_FAT}
 		if [ -d ${NANO_FAT_DIR} ]; then
 			# Need to copy files from ${NANO_FATDIR} with mtools, or use
 			# makefs -t msdos once that's supported
-			mcopy -i ${NANO_OBJ}/_.${NANO_SLICE_FAT} ${NANO_FAT_DIR}/* ::
+			mcopy -i ${NANO_LOG}/_.${NANO_SLICE_FAT} ${NANO_FAT_DIR}/* ::
 		fi
 	fi
 
 	# Populate the Powerpc boot image, if needed
 	if [ "${NANO_LAYOUT}" = powerpc64-ibm ]; then
-		dd if=${NANO_WORLDDIR}/boot/boot1.elf of=${NANO_OBJ}/_.s1 bs=800k count=1 conv=sync
+		dd if=${NANO_WORLDDIR}/boot/boot1.elf of=${NANO_LOG}/_.s1 bs=800k count=1 conv=sync
 	fi
 
 	# Populate the / partition, and place it into a slice with a
 	# bsd label
 	[ -z ${NANO_NOPRIV_BUILD} ] || extra="-F ${NANO_METALOG}"
 	sz=${NANO_SLICE_ROOT_SIZE:+-s ${NANO_SLICE_ROOT_SIZE}}
-	eval "${NANO_MAKEFS_UFS}" ${extra} $sz "${NANO_OBJ}/_.${NANO_ROOT}" \
+	eval "${NANO_MAKEFS_UFS}" ${extra} $sz "${NANO_LOG}/_.${NANO_ROOT}" \
 		"${NANO_WORLDDIR}"
 	case ${NANO_DISK_SCHEME} in
 	mbr)
-		mkimg -s bsd ${bootbsd} -p freebsd-ufs:=${NANO_OBJ}/_.${NANO_ROOT} \
-			-o ${NANO_OBJ}/_.${NANO_SLICE_ROOT}
+		mkimg -s bsd ${bootbsd} -p freebsd-ufs:=${NANO_LOG}/_.${NANO_ROOT} \
+			-o ${NANO_LOG}/_.${NANO_SLICE_ROOT}
 		eval $NANO_SLICE_CFG=freebsd
 		eval $NANO_SLICE_ROOT=freebsd
 		;;
@@ -246,12 +253,12 @@ create_diskimage_mbr ( ) (
 	# Populate the /cfg partition, empty if none given
 	if [ -z "${NANO_CFGDIR}" ]; then
 		echo "Faking cfg dir, it's empty"
-		NANO_CFGDIR=${NANO_OBJ}/_.empty
+		NANO_CFGDIR=${NANO_LOG}/_.empty
 		mkdir -p ${NANO_CFGDIR}
 	fi
 	# XXX -F cfg-mtree
 	eval "${NANO_MAKEFS_UFS}" -s ${NANO_SLICE_CFG_SIZE} \
-		"${NANO_OBJ}/_.${NANO_SLICE_CFG}" "${NANO_CFGDIR}"
+		"${NANO_LOG}/_.${NANO_SLICE_CFG}" "${NANO_CFGDIR}"
 
 	# data slice not supported since we need the part for FAT for 
 	# booting
@@ -261,31 +268,32 @@ create_diskimage_mbr ( ) (
 		eval $NANO_SLICE_FAT=fat16b
 	fi
 
+	out=${NANO_DISKIMGDIR}/_.disk.image.${NANO_NAME}${fmt}
 	# below depends on https://reviews.freebsd.org/D4403 not yet in the tree
 	# but there's problems: it marks all partitions as active, so you have to
 	# boot off parittion 3 or 2 by hand if you're playing around with this WIP
 	case ${NANO_LAYOUT} in
 	std-embedded)
-		mkimg -a 3 ${skiparg} ${fmtarg} ${bootmbr} -s mbr -p ${s1}:=${NANO_OBJ}/_.s1 \
-			-p ${s2}:=${NANO_OBJ}/_.s2 \
-			-p ${s3}:=${NANO_OBJ}/_.s3 \
-			-o ${NANO_OBJ}/_.disk.image.${NANO_NAME}${fmt}
+		mkimg -a 3 ${skiparg} ${fmtarg} ${bootmbr} -s mbr -p ${s1}:=${NANO_LOG}/_.s1 \
+			-p ${s2}:=${NANO_LOG}/_.s2 \
+			-p ${s3}:=${NANO_LOG}/_.s3 \
+			-o ${out}
 		;;
 	std-x86)
 		# s1 is cfg, s2 is /, not sure how to make that
 		# boot (marked as active) with mkimg yet
-		mkimg -a 2 ${fmtarg} ${bootmbr} -s mbr -p ${s1}:=${NANO_OBJ}/_.s1 \
-			-p ${s2}:=${NANO_OBJ}/_.s2 \
-			-o ${NANO_OBJ}/_.disk.image.${NANO_NAME}${fmt}
+		mkimg -a 2 ${fmtarg} ${bootmbr} -s mbr -p ${s1}:=${NANO_LOG}/_.s1 \
+			-p ${s2}:=${NANO_LOG}/_.s2 \
+			-o ${out}
 		;;
 	std-uefi)
 		# s1 is boot, s2 is cfg, s3 is /, not sure how to make that
 		# boot (marked as active) with mkimg yet
 		mkimg -a 2 ${fmtarg} ${bootmbr} -s mbr \
 			-p efi:=${NANO_WORLDDIR}/boot/boot1.efifat \
-			-p ${s2}:=${NANO_OBJ}/_.s2 \
-			-p ${s3}:=${NANO_OBJ}/_.s3 \
-			-o ${NANO_OBJ}/_.disk.image.${NANO_NAME}${fmt}
+			-p ${s2}:=${NANO_LOG}/_.s2 \
+			-p ${s3}:=${NANO_LOG}/_.s3 \
+			-o ${out}
 		;;
 	std-uefi-bios)
 		# p1 is boot for uefi, p2 is boot for gpt, p3 is cfg, p4 is /
@@ -293,9 +301,9 @@ create_diskimage_mbr ( ) (
 		mkimg -a 2 ${fmtarg} ${bootmbr} -s gpt \
 			-p efi:=${NANO_WORLDDIR}/boot/boot1.efifat \
 			-p freebsd-boot:=${NAANO_WORLDDIR}/boot/gptboot \
-			-p ${p3}:=${NANO_OBJ}/_.p3 \
-			-p ${p4}:=${NANO_OBJ}/_.p4 \
-			-o ${NANO_OBJ}/_.disk.image.${NANO_NAME}${fmt}
+			-p ${p3}:=${NANO_LOG}/_.p3 \
+			-p ${p4}:=${NANO_LOG}/_.p4 \
+			-o ${out}
 		;;
 	powerpc64-ibm)
 		# A lie to make the boot loader work, it boots the first BSD partition
@@ -304,13 +312,14 @@ create_diskimage_mbr ( ) (
 		# boot image is on a special partition, ala std-embedded, but that
 		# partition isn't FAT with special files, but a copy of the boot
 		# loader itself.
-		mkimg -a 1 ${fmtarg} -s mbr -p prepboot:=${NANO_OBJ}/_.s1 \
-			-p ${s2}:=${NANO_OBJ}/_.s2 \
-			-p ${s3}:=${NANO_OBJ}/_.s3a \
-			-o ${NANO_OBJ}/_.disk.image.${NANO_NAME}${fmt}
+		mkimg -a 1 ${fmtarg} -s mbr -p prepboot:=${NANO_LOG}/_.s1 \
+			-p ${s2}:=${NANO_LOG}/_.s2 \
+			-p ${s3}:=${NANO_LOG}/_.s3a \
+			-o ${out}
 		;;
 	esac
-	) > ${NANO_OBJ}/_.di 2>&1
+	xz -9 --keep ${out}
+	) > ${NANO_LOG}/_.di 2>&1
 )
 
 die( ) {