diff --git a/src/build/functions/edge.ts b/src/build/functions/edge.ts
index 75fd3bcef8..a26ee857c9 100644
--- a/src/build/functions/edge.ts
+++ b/src/build/functions/edge.ts
@@ -210,7 +210,7 @@ const copyHandlerDependenciesForNodeMiddleware = async (ctx: PluginContext) => {
 
   const entry = 'server/middleware.js'
   const nft = `${entry}.nft.json`
-  const nftFilesPath = join(process.cwd(), ctx.nextDistDir, nft)
+  const nftFilesPath = join(process.cwd(), ctx.distDir, nft)
   const nftManifest = JSON.parse(await readFile(nftFilesPath, 'utf8'))
 
   const files: string[] = nftManifest.files.map((file: string) => join('server', file))
diff --git a/tests/smoke/deploy.test.ts b/tests/smoke/deploy.test.ts
index de97122d9f..abee3ff93b 100644
--- a/tests/smoke/deploy.test.ts
+++ b/tests/smoke/deploy.test.ts
@@ -1,5 +1,6 @@
 import { afterEach, describe, expect, test } from 'vitest'
 import { Fixture, fixtureFactories } from '../utils/create-e2e-fixture'
+import { nextVersionSatisfies } from '../utils/next-version-helpers.mjs'
 
 const usedFixtures = new Set<Fixture>()
 /**
@@ -37,6 +38,19 @@ async function smokeTest(createFixture: () => Promise<Fixture>) {
   await expect(body).toContain('SSR: yes')
 }
 
+if (nextVersionSatisfies('>=16.0.0')) {
+  test('npm monorepo with proxy / node middleware', async () => {
+    // proxy ~= node middleware
+    const fixture = await selfCleaningFixtureFactories.npmMonorepoProxy()
+
+    const response = await fetch(fixture.url)
+    expect(response.status).toBe(200)
+
+    const body = await response.json()
+    expect(body).toEqual({ proxy: true })
+  })
+}
+
 test('yarn@3 monorepo with pnpm linker', async () => {
   await smokeTest(selfCleaningFixtureFactories.yarnMonorepoWithPnpmLinker)
 })
diff --git a/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/next.config.js b/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/next.config.js
new file mode 100644
index 0000000000..5cd8cc341f
--- /dev/null
+++ b/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/next.config.js
@@ -0,0 +1,6 @@
+/** @type {import('next').NextConfig} */
+const nextConfig = {
+  output: 'standalone',
+}
+
+module.exports = nextConfig
diff --git a/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/package.json b/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/package.json
new file mode 100644
index 0000000000..f3137768af
--- /dev/null
+++ b/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/package.json
@@ -0,0 +1,13 @@
+{
+  "name": "@apps/site",
+  "version": "0.1.0",
+  "private": true,
+  "scripts": {
+    "build": "next build"
+  },
+  "dependencies": {
+    "next": "latest",
+    "react": "^18.2.0",
+    "react-dom": "^18.2.0"
+  }
+}
diff --git a/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/pages/index.js b/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/pages/index.js
new file mode 100644
index 0000000000..eaf17aeb3a
--- /dev/null
+++ b/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/pages/index.js
@@ -0,0 +1,7 @@
+export default function Home() {
+  return (
+    <main>
+      This should never render, because proxy/middleware always respond before handling pages
+    </main>
+  )
+}
diff --git a/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/proxy.ts b/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/proxy.ts
new file mode 100644
index 0000000000..2cd076a129
--- /dev/null
+++ b/tests/smoke/fixtures/npm-monorepo-proxy/apps/site/proxy.ts
@@ -0,0 +1,6 @@
+import type { NextRequest } from 'next/server'
+import { NextResponse } from 'next/server'
+
+export async function proxy(request: NextRequest) {
+  return NextResponse.json({ proxy: true })
+}
diff --git a/tests/smoke/fixtures/npm-monorepo-proxy/package.json b/tests/smoke/fixtures/npm-monorepo-proxy/package.json
new file mode 100644
index 0000000000..06afd549b7
--- /dev/null
+++ b/tests/smoke/fixtures/npm-monorepo-proxy/package.json
@@ -0,0 +1,14 @@
+{
+  "name": "npm-monorepo-proxy",
+  "private": true,
+  "scripts": {
+    "build": "npm run build --workspace @apps/site"
+  },
+  "engines": {
+    "node": ">=18"
+  },
+  "packageManager": "npm@10.2.3",
+  "workspaces": [
+    "apps/*"
+  ]
+}
diff --git a/tests/utils/create-e2e-fixture.ts b/tests/utils/create-e2e-fixture.ts
index 0af1e20a1d..961a446bfc 100644
--- a/tests/utils/create-e2e-fixture.ts
+++ b/tests/utils/create-e2e-fixture.ts
@@ -629,6 +629,13 @@ export const fixtureFactories = {
       publishDirectory: 'apps/site/.next',
       smoke: true,
     }),
+  npmMonorepoProxy: () =>
+    createE2EFixture('npm-monorepo-proxy', {
+      buildCommand: 'npm run build --workspace @apps/site',
+      packagePath: 'apps/site',
+      publishDirectory: 'apps/site/.next',
+      smoke: true,
+    }),
   dynamicCms: () => createE2EFixture('dynamic-cms'),
   after: () => createE2EFixture('after'),
 }