diff --git a/scripts/vr-edit/modules/createPalette.js b/scripts/vr-edit/modules/createPalette.js
index aea2d365b3..928cb48048 100644
--- a/scripts/vr-edit/modules/createPalette.js
+++ b/scripts/vr-edit/modules/createPalette.js
@@ -110,6 +110,7 @@ CreatePalette = function (side, leftInputs, rightInputs) {
     }
 
     function update(intersectionOverlayID) {
+        var CREATE_OFFSET = { x: 0, y: 0.05, z: -0.02 };
         // Highlight cube.
         if (intersectionOverlayID === cubeOverlay !== isHighlightingCube) {
             isHighlightingCube = !isHighlightingCube;
@@ -119,14 +120,14 @@ CreatePalette = function (side, leftInputs, rightInputs) {
         // Cube click.
         if (isHighlightingCube && controlHand.triggerClicked() !== isCubePressed) {
             isCubePressed = controlHand.triggerClicked();
-
             if (isCubePressed) {
                 Overlays.editOverlay(cubeOverlay, {
                     localPosition: Vec3.sum(CUBE_PROPERTIES.localPosition, { x: 0, y: 0, z: 0.01 })
                 });
-                CUBE_ENTITY_PROPERTIES.position =
-                    Vec3.sum(MyAvatar.position, Vec3.multiplyQbyV(MyAvatar.orientation, { x: 0, y: 0.2, z: -1.0 }));
-                CUBE_ENTITY_PROPERTIES.rotation = MyAvatar.orientation;
+                CUBE_ENTITY_PROPERTIES.position = Vec3.sum(controlHand.palmPosition(),
+                    Vec3.multiplyQbyV(controlHand.orientation(),
+                        Vec3.sum({ x: 0, y: CUBE_ENTITY_PROPERTIES.dimensions.z / 2, z: 0 }, CREATE_OFFSET)));
+                CUBE_ENTITY_PROPERTIES.rotation = controlHand.orientation();
                 Entities.addEntity(CUBE_ENTITY_PROPERTIES);
             } else {
                 Overlays.editOverlay(cubeOverlay, {
diff --git a/scripts/vr-edit/modules/hand.js b/scripts/vr-edit/modules/hand.js
index 0e2bf1c0b3..42d6751ed1 100644
--- a/scripts/vr-edit/modules/hand.js
+++ b/scripts/vr-edit/modules/hand.js
@@ -39,6 +39,7 @@ Hand = function (side) {
         handPose,
         handPosition,
         handOrientation,
+        palmPosition,
 
         intersection = {};
 
@@ -70,6 +71,10 @@ Hand = function (side) {
         return handOrientation;
     }
 
+    function getPalmPosition() {
+        return palmPosition;
+    }
+
     function triggerPressed() {
         return isTriggerPressed;
     }
@@ -88,7 +93,6 @@ Hand = function (side) {
 
     function update() {
         var gripValue,
-            palmPosition,
             overlayID,
             overlayIDs,
             overlayDistance,
@@ -191,6 +195,7 @@ Hand = function (side) {
         valid: valid,
         position: position,
         orientation: orientation,
+        palmPosition: getPalmPosition,
         triggerPressed: triggerPressed,
         triggerClicked: triggerClicked,
         gripClicked: gripClicked,