diff --git a/README.md b/README.md
index e4c2dec..3dadcbd 100644
--- a/README.md
+++ b/README.md
@@ -37,10 +37,12 @@ DATABASE_URL=file:./data/dimensionlab.sqlite
 
 SQLite files under `data/` are ignored. Drizzle schema lives in
 `src/lib/server/db/schema.ts`; tracked migrations live in `drizzle/`. Runtime
-startup applies the checked-in dashboard migrations before reads or writes. The
-current driver is `bun:sqlite`, which keeps this repo installable in the Bun
-workflow. The store boundary is isolated so a later Postgres driver can replace
-the SQLite connection without changing the dashboard model or renderer.
+startup applies the checked-in dashboard migrations before reads or writes. If
+the app is launched from outside the repo tree, set `DASHBOARD_MIGRATIONS_DIR`
+to the tracked migrations directory. The current driver is `bun:sqlite`, which
+keeps this repo installable in the Bun workflow. The store boundary is isolated
+so a later Postgres driver can replace the SQLite connection without changing
+the dashboard model or renderer.
 Stored dashboard documents pass through a version migration boundary before
 reads or writes; the MVP supports `dashboard.v1` and fails unsupported versions
 with an explicit migration error.
diff --git a/src/lib/server/db/dashboard-store.test.ts b/src/lib/server/db/dashboard-store.test.ts
index 71942f0..ecb80f3 100644
--- a/src/lib/server/db/dashboard-store.test.ts
+++ b/src/lib/server/db/dashboard-store.test.ts
@@ -13,9 +13,11 @@ import {
 
 const stores: DashboardStore[] = [];
 const tempRoots: string[] = [];
+const originalCwd = process.cwd();
 
 afterEach(() => {
   vi.useRealTimers();
+  process.chdir(originalCwd);
   stores.splice(0).forEach((store) => store.close());
   tempRoots.splice(0).forEach((path) => rmSync(path, { force: true, recursive: true }));
 });
@@ -165,6 +167,25 @@ describe("dashboard persistence store", () => {
       seed.id,
     ]);
   });
+
+  test("applies migrations when launched outside the repository root", async () => {
+    const root = await mkdtemp(join(tmpdir(), "dimensionlab-dashboard-cwd-"));
+    tempRoots.push(root);
+    process.chdir(root);
+    vi.resetModules();
+    const { createDashboardStore: createStore } = await import("./dashboard-store");
+    const store = createStore({
+      databaseUrl: `file:${join(root, "dashboard.sqlite")}`,
+    });
+    stores.push(store);
+
+    const seed = store.seedDashboardIfEmpty(genericDashboardFixture, {
+      actor: "test-seed",
+    });
+
+    expect(seed.document.metadata.title).toBe("Operations Console");
+    expect(store.getActiveDashboard()?.currentRevisionId).toBe(seed.id);
+  });
 });
 
 async function createTestStore() {
diff --git a/src/lib/server/db/migrations.ts b/src/lib/server/db/migrations.ts
index 917d777..9e34ba0 100644
--- a/src/lib/server/db/migrations.ts
+++ b/src/lib/server/db/migrations.ts
@@ -1,12 +1,52 @@
-import { resolve } from "node:path";
+import { existsSync } from "node:fs";
+import { dirname, join, resolve } from "node:path";
+import { fileURLToPath } from "node:url";
 import { migrate } from "drizzle-orm/bun-sqlite/migrator";
 import type { BunSQLiteDatabase } from "drizzle-orm/bun-sqlite";
 
-export const DASHBOARD_MIGRATIONS_FOLDER = resolve("drizzle");
+const MIGRATION_JOURNAL_PATH = join("meta", "_journal.json");
 
 export function applyDashboardMigrations(
   database: BunSQLiteDatabase<Record<string, unknown>>,
-  migrationsFolder = DASHBOARD_MIGRATIONS_FOLDER,
+  migrationsFolder = resolveDashboardMigrationsFolder(),
 ) {
   migrate(database, { migrationsFolder });
 }
+
+export function resolveDashboardMigrationsFolder(
+  explicitFolder = process.env.DASHBOARD_MIGRATIONS_DIR,
+): string {
+  if (explicitFolder) return assertMigrationFolder(resolve(explicitFolder));
+
+  const cwdFolder = findMigrationFolder(process.cwd());
+  if (cwdFolder) return cwdFolder;
+
+  const moduleFolder = findMigrationFolder(dirname(fileURLToPath(import.meta.url)));
+  if (moduleFolder) return moduleFolder;
+
+  throw new Error(
+    "Unable to locate dashboard Drizzle migrations. Set DASHBOARD_MIGRATIONS_DIR.",
+  );
+}
+
+function findMigrationFolder(startPath: string): string | null {
+  let currentPath = resolve(startPath);
+
+  while (true) {
+    const candidate = join(currentPath, "drizzle");
+    if (hasMigrationJournal(candidate)) return candidate;
+
+    const parentPath = dirname(currentPath);
+    if (parentPath === currentPath) return null;
+    currentPath = parentPath;
+  }
+}
+
+function assertMigrationFolder(folder: string): string {
+  if (hasMigrationJournal(folder)) return folder;
+  throw new Error(`Dashboard migrations not found in ${folder}`);
+}
+
+function hasMigrationJournal(folder: string): boolean {
+  return existsSync(join(folder, MIGRATION_JOURNAL_PATH));
+}