diff --git a/src/dotnet/ToolPackage/ToolPackageInstaller.cs b/src/dotnet/ToolPackage/ToolPackageInstaller.cs
index 17d5ad80b..1903d2f84 100644
--- a/src/dotnet/ToolPackage/ToolPackageInstaller.cs
+++ b/src/dotnet/ToolPackage/ToolPackageInstaller.cs
@@ -135,6 +135,7 @@ namespace Microsoft.DotNet.ToolPackage
             var tempProjectContent = new XDocument(
                 new XElement("Project",
                     new XElement("PropertyGroup",
+                        // due to https://github.com/Microsoft/msbuild/issues/1603 -- import SDK after setting MsBuildProjectExtensionsPath
                         new XElement("MsBuildProjectExtensionsPath", assetJsonOutputDirectory.Value)), // change the output directory of asset.json
                     new XElement(("Import"),
                         new XAttribute("Project", "Sdk.props"),
diff --git a/test/Microsoft.DotNet.ToolPackage.Tests/ToolPackageInstallerTests.cs b/test/Microsoft.DotNet.ToolPackage.Tests/ToolPackageInstallerTests.cs
index 6b90ff3fb..226dcf69d 100644
--- a/test/Microsoft.DotNet.ToolPackage.Tests/ToolPackageInstallerTests.cs
+++ b/test/Microsoft.DotNet.ToolPackage.Tests/ToolPackageInstallerTests.cs
@@ -1,8 +1,9 @@
-// Copyright (c) .NET Foundation and contributors. All rights reserved.
+// Copyright (c) .NET Foundation and contributors. All rights reserved.
 // Licensed under the MIT license. See LICENSE file in the project root for full license information.
 
 using System;
 using System.Collections.Generic;
+using System.Globalization;
 using System.IO;
 using System.Linq;
 using System.Reflection;
@@ -16,8 +17,10 @@ using Microsoft.DotNet.Tools.Tool.Install;
 using Microsoft.DotNet.Tools.Tests.ComponentMocks;
 using Microsoft.Extensions.DependencyModel.Tests;
 using Microsoft.Extensions.EnvironmentAbstractions;
+using Microsoft.TemplateEngine.Cli;
 using NuGet.Versioning;
 using Xunit;
+using LocalizableStrings = Microsoft.DotNet.Tools.Tool.Install.LocalizableStrings;
 
 namespace Microsoft.DotNet.ToolPackage.Tests
 {
@@ -612,6 +615,35 @@ namespace Microsoft.DotNet.ToolPackage.Tests
             package.Uninstall();
         }
 
+        [Fact]
+        public void GivenARootWithNonAsciiCharactorInstallSucceeds()
+        {
+            var nugetConfigPath = WriteNugetConfigFileToPointToTheFeed();
+
+            var surrogate = char.ConvertFromUtf32(int.Parse("2A601", NumberStyles.HexNumber));
+            string nonAscii = "ab Ṱ̺̺̕o 田中さん åä," + surrogate;
+
+            var root = new DirectoryPath(Path.Combine(TempRoot.Root, nonAscii, Path.GetRandomFileName()));
+            var reporter = new BufferedReporter();
+            var fileSystem = new FileSystemWrapper();
+            var store = new ToolPackageStore(root);
+            var installer = new ToolPackageInstaller(
+                store: store,
+                projectRestorer: new ProjectRestorer(reporter),
+                tempProject: GetUniqueTempProjectPathEachTest(),
+                offlineFeed: new DirectoryPath("does not exist"));
+
+            var package = installer.InstallPackage(
+                packageId: TestPackageId,
+                versionRange: VersionRange.Parse(TestPackageVersion),
+                targetFramework: _testTargetframework,
+                nugetConfig: nugetConfigPath);
+                
+            AssertPackageInstall(reporter, fileSystem, package, store);
+
+            package.Uninstall();
+        }
+
         [Theory]
         [InlineData(false)]
         [InlineData(true)]