diff --git a/src/dotnet/commands/dotnet-compile/ManagedCompiler.cs b/src/dotnet/commands/dotnet-compile/ManagedCompiler.cs
index 722f70382..960b2b97a 100644
--- a/src/dotnet/commands/dotnet-compile/ManagedCompiler.cs
+++ b/src/dotnet/commands/dotnet-compile/ManagedCompiler.cs
@@ -115,7 +115,7 @@ namespace Microsoft.DotNet.Tools.Compiler
                     writer.Write(dependencyContext, fileStream);
                 }
 
-                compilerArgs.Add($"--resource:{depsJsonFile},{context.ProjectFile.Name}.deps.json");
+                compilerArgs.Add($"--resource:\"{depsJsonFile}\",{context.ProjectFile.Name}.deps.json");
             }
 
             if (!AddNonCultureResources(context.ProjectFile, compilerArgs, intermediateOutputPath))
diff --git a/test/dotnet-compile.Tests/CompilerTests.cs b/test/dotnet-compile.Tests/CompilerTests.cs
index d31e5ac80..c0ed48edb 100644
--- a/test/dotnet-compile.Tests/CompilerTests.cs
+++ b/test/dotnet-compile.Tests/CompilerTests.cs
@@ -88,6 +88,24 @@ namespace Microsoft.DotNet.Tools.Compiler.Tests
             Assert.Contains("CA1018", result.StdErr);
         }
 
+        [Fact]
+        public void CompilingAppWithPreserveCompilationContextWithSpaceInThePathShouldSucceed()
+        {
+            var root = Temp.CreateDirectory();
+
+            var spaceBufferDirectory = root.CreateDirectory("space directory");
+            var testAppDir = spaceBufferDirectory.CreateDirectory("TestAppCompilationContext");
+
+            CopyProjectToTempDir(Path.Combine(_testProjectsRoot, "TestAppCompilationContext"), testAppDir);
+
+            var testProjectDir = Path.Combine(_testProjectsRoot, "TestAppCompilationContext", "TestApp");
+            var testProject = Path.Combine(testProjectDir, "project.json");
+            
+            var buildCommand = new BuildCommand(testProject);
+
+            buildCommand.Execute().Should().Pass();
+        }
+
         private void CopyProjectToTempDir(string projectDir, TempDirectory tempDir)
         {
             // copy all the files to temp dir
diff --git a/test/dotnet-compile.Tests/project.json b/test/dotnet-compile.Tests/project.json
index dfad85839..6853f6a19 100644
--- a/test/dotnet-compile.Tests/project.json
+++ b/test/dotnet-compile.Tests/project.json
@@ -23,6 +23,7 @@
     "../../TestAssets/TestProjects/TestLibraryWithAnalyzer/*",
     "../../TestAssets/TestProjects/TestAppWithLibrary/TestLibrary/*",
     "../../TestAssets/TestProjects/TestProjectWithCultureSpecificResource/*",
+    "../../TestAssets/TestProjects/TestAppCompilationContext/**/*",
     "../../TestAssets/TestProjects/global.json"
   ],