diff --git a/openwrt/rules.mk b/openwrt/rules.mk
index 4218bbf1b2..ba027d4576 100644
--- a/openwrt/rules.mk
+++ b/openwrt/rules.mk
@@ -119,5 +119,5 @@ IPKG_STATE_DIR := $(TARGET_DIR)/usr/lib/ipkg
 IPKG_BUILD := PATH="$(TARGET_PATH)" ipkg-build -c -o root -g root
 
 # where to build (and put) .ipk packages
-IPKG_TARGET_DIR := $(BUILD_DIR)
+IPKG_TARGET_DIR := $(PACKAGE_DIR)