diff --git a/go/cmd/dolt/commands/config.go b/go/cmd/dolt/commands/config.go
index 192d54dae09..3aa87d268ba 100644
--- a/go/cmd/dolt/commands/config.go
+++ b/go/cmd/dolt/commands/config.go
@@ -233,7 +233,12 @@ func addOperation(dEnv *env.DoltEnv, setCfgTypes *set.StrSet, args []string, usa
 		case globalParamName:
 			panic("Should not have been able to get this far without a global config.")
 		case localParamName:
-			err := dEnv.Config.CreateLocalConfig(updates)
+			configDir, err := dEnv.FS.Abs(".")
+			if err != nil {
+				cli.PrintErrln(color.RedString("Unable to resolve current path to create repo local config file"))
+				return 1
+			}
+			err = dEnv.Config.CreateLocalConfig(configDir, updates)
 			if err != nil {
 				cli.PrintErrln(color.RedString("Unable to create repo local config file"))
 				return 1
diff --git a/go/cmd/dolt/commands/config_test.go b/go/cmd/dolt/commands/config_test.go
index 03c97428fc2..0bef1fa8464 100644
--- a/go/cmd/dolt/commands/config_test.go
+++ b/go/cmd/dolt/commands/config_test.go
@@ -36,7 +36,11 @@ func initializeConfigs(dEnv *env.DoltEnv, element env.ConfigScope) {
 		globalCfg, _ := dEnv.Config.GetConfig(env.GlobalConfig)
 		globalCfg.SetStrings(map[string]string{"title": "senior dufus"})
 	case env.LocalConfig:
-		dEnv.Config.CreateLocalConfig(map[string]string{"title": "senior dufus"})
+		configDir, err := dEnv.FS.Abs(".")
+		if err != nil {
+			panic("Unable to resolve current path to create repo local config file: " + err.Error())
+		}
+		dEnv.Config.CreateLocalConfig(configDir, map[string]string{"title": "senior dufus"})
 	}
 }
 func TestConfigAdd(t *testing.T) {
diff --git a/go/libraries/doltcore/env/config.go b/go/libraries/doltcore/env/config.go
index 7f7645c22a1..d26d5c01614 100644
--- a/go/libraries/doltcore/env/config.go
+++ b/go/libraries/doltcore/env/config.go
@@ -111,10 +111,11 @@ func ensureGlobalConfig(path string, fs filesys.ReadWriteFS) (config.ReadWriteCo
 	return config.NewFileConfig(path, fs, map[string]string{})
 }
 
-// CreateLocalConfig creates a new repository local config file.  The current directory must have already been initialized
+// CreateLocalConfig creates a new repository local config file with the values from |val|
+// at the directory |dir|. The |dir| directory must have already been initialized
 // as a data repository before a local config can be created.
-func (dcc *DoltCliConfig) CreateLocalConfig(vals map[string]string) error {
-	return dcc.createLocalConfigAt(".", vals)
+func (dcc *DoltCliConfig) CreateLocalConfig(dir string, vals map[string]string) error {
+	return dcc.createLocalConfigAt(dir, vals)
 }
 
 func (dcc *DoltCliConfig) createLocalConfigAt(dir string, vals map[string]string) error {
diff --git a/go/libraries/doltcore/env/environment.go b/go/libraries/doltcore/env/environment.go
index 62ef6aef95e..44eecc1e454 100644
--- a/go/libraries/doltcore/env/environment.go
+++ b/go/libraries/doltcore/env/environment.go
@@ -457,8 +457,12 @@ func (dEnv *DoltEnv) createDirectories(dir string) (string, error) {
 }
 
 func (dEnv *DoltEnv) configureRepo(doltDir string) error {
-	err := dEnv.Config.CreateLocalConfig(map[string]string{})
+	configDir, err := dEnv.FS.Abs(".")
+	if err != nil {
+		return fmt.Errorf("unable to resolve current path to create repo local config file: %s", err.Error())
+	}
 
+	err = dEnv.Config.CreateLocalConfig(configDir, map[string]string{})
 	if err != nil {
 		return fmt.Errorf("failed creating file %s", getLocalConfigPath())
 	}
diff --git a/go/libraries/doltcore/env/environment_test.go b/go/libraries/doltcore/env/environment_test.go
index c62b0c07266..fcc942607bc 100644
--- a/go/libraries/doltcore/env/environment_test.go
+++ b/go/libraries/doltcore/env/environment_test.go
@@ -129,7 +129,10 @@ func TestRepoDirNoLocal(t *testing.T) {
 	require.NoError(t, dEnv.CfgLoadErr)
 	// RSLoadErr will be set because the above method of creating the repo doesn't initialize a valid working or staged
 
-	err := dEnv.Config.CreateLocalConfig(map[string]string{"user.name": "bheni"})
+	configDir, err := dEnv.FS.Abs(".")
+	require.NoError(t, err)
+
+	err = dEnv.Config.CreateLocalConfig(configDir, map[string]string{"user.name": "bheni"})
 	require.NoError(t, err)
 
 	if !dEnv.HasLocalConfig() {
diff --git a/integration-tests/bats/init.bats b/integration-tests/bats/init.bats
index e9ce1dc5068..0ffc53e7286 100644
--- a/integration-tests/bats/init.bats
+++ b/integration-tests/bats/init.bats
@@ -277,6 +277,27 @@ teardown() {
     [[ $output =~ "commit dolt" ]] || [[ $output =~ "commit do1t" ]] || [[ $output =~ "commit d0lt" ]] || [[ $output =~ "commit d01t" ]] || false
 }
 
+@test "init: initialize a non-working directory with --data-dir" {
+    baseDir=$(pwd)
+    mkdir not_a_repo
+    mkdir repo_dir
+    cd not_a_repo
+    dolt --data-dir $baseDir/repo_dir init
+
+    # Assert that the current directory has NOT been initialized
+    run dolt status
+    [ $status -eq 1 ]
+    [[ $output =~ "The current directory is not a valid dolt repository" ]] || false
+    [ ! -d "$baseDir/not_a_repo/.dolt" ]
+
+    # Assert that ../repo_dir HAS been initialized
+    cd $baseDir/repo_dir
+    run dolt status
+    [ $status -eq 0 ]
+    [[ $output =~ "On branch main" ]] || false
+    [ -d "$baseDir/repo_dir/.dolt" ]
+}
+
 assert_valid_repository () {
   run dolt log
   [ "$status" -eq 0 ]