diff --git a/apps/web/src/lib/chatThreadActions.test.ts b/apps/web/src/lib/chatThreadActions.test.ts
index c145404a74e2..3a4a6220a219 100644
--- a/apps/web/src/lib/chatThreadActions.test.ts
+++ b/apps/web/src/lib/chatThreadActions.test.ts
@@ -11,6 +11,7 @@ import {
   hasExplicitComposerModelSelection,
   resolveNewDraftStartFromOrigin,
   resolveNewThreadModelSelectionOverride,
+  startNewLocalThreadFromContext,
   startNewThreadFromContext,
   type ChatThreadActionContext,
 } from "./chatThreadActions";
@@ -155,6 +156,54 @@ describe("chatThreadActions", () => {
     expect(handleNewThread).toHaveBeenCalledWith(scopeProjectRef(ENVIRONMENT_ID, PROJECT_ID));
   });
 
+  it("keeps the active thread's worktree for the new-local shortcut", async () => {
+    const handleNewThread = vi.fn<ChatThreadActionContext["handleNewThread"]>(async () => {});
+
+    const didStart = await startNewLocalThreadFromContext(
+      createContext({
+        activeThread: {
+          environmentId: ENVIRONMENT_ID,
+          projectId: PROJECT_ID,
+          branch: "feature/one",
+          worktreePath: "/tmp/worktrees/feature-one",
+        },
+        handleNewThread,
+      }),
+    );
+
+    expect(didStart).toBe(true);
+    expect(handleNewThread).toHaveBeenCalledWith(scopeProjectRef(ENVIRONMENT_ID, PROJECT_ID), {
+      branch: "feature/one",
+      worktreePath: "/tmp/worktrees/feature-one",
+      envMode: "worktree",
+      startFromOrigin: false,
+    });
+  });
+
+  it("keeps a branch-only thread on the local checkout for the new-local shortcut", async () => {
+    const handleNewThread = vi.fn<ChatThreadActionContext["handleNewThread"]>(async () => {});
+
+    await startNewLocalThreadFromContext(
+      createContext({
+        activeDraftThread: {
+          environmentId: ENVIRONMENT_ID,
+          projectId: PROJECT_ID,
+          branch: "feature/two",
+          worktreePath: null,
+          envMode: "local",
+        },
+        handleNewThread,
+      }),
+    );
+
+    expect(handleNewThread).toHaveBeenCalledWith(scopeProjectRef(ENVIRONMENT_ID, PROJECT_ID), {
+      branch: "feature/two",
+      worktreePath: null,
+      envMode: "local",
+      startFromOrigin: false,
+    });
+  });
+
   it("does not start a thread when there is no project context", async () => {
     const handleNewThread = vi.fn<ChatThreadActionContext["handleNewThread"]>(async () => {});
 
diff --git a/apps/web/src/lib/chatThreadActions.ts b/apps/web/src/lib/chatThreadActions.ts
index c14a26d03d1c..60def0a54eee 100644
--- a/apps/web/src/lib/chatThreadActions.ts
+++ b/apps/web/src/lib/chatThreadActions.ts
@@ -15,6 +15,15 @@ type ComposerModelSelectionState = Pick<
 interface ThreadContextLike {
   environmentId: EnvironmentId;
   projectId: ProjectId;
+  // Only the "new thread in this workspace" shortcut reads the checkout the
+  // context is sitting on; the generic new-thread paths ignore these.
+  branch?: string | null;
+  worktreePath?: string | null;
+}
+
+interface DraftThreadContextLike extends ThreadContextLike {
+  envMode?: DraftThreadEnvMode;
+  startFromOrigin?: boolean;
 }
 
 interface NewThreadHandler {
@@ -31,7 +40,7 @@ interface NewThreadHandler {
 }
 
 export interface ChatThreadActionContext {
-  readonly activeDraftThread: ThreadContextLike | null;
+  readonly activeDraftThread: DraftThreadContextLike | null;
   readonly activeThread: ThreadContextLike | undefined;
   readonly defaultProjectRef: ScopedProjectRef | null;
   readonly handleNewThread: NewThreadHandler;
@@ -100,3 +109,36 @@ export async function startNewThreadFromContext(
   await context.handleNewThread(projectRef);
   return true;
 }
+
+// The new-local shortcut keeps the current checkout; without an open context,
+// it uses the default project and its new-thread defaults.
+export async function startNewLocalThreadFromContext(
+  context: ChatThreadActionContext,
+): Promise<boolean> {
+  const projectRef = resolveThreadActionProjectRef(context);
+  if (!projectRef) {
+    return false;
+  }
+
+  const thread = context.activeThread;
+  const draft = context.activeDraftThread;
+  const source = thread ?? draft;
+  if (!source) {
+    await context.handleNewThread(projectRef);
+    return true;
+  }
+
+  const worktreePath = source.worktreePath ?? null;
+  // Preserve origin bootstrapping only for a draft awaiting its new worktree.
+  const startFromOrigin =
+    !thread && !worktreePath && draft?.envMode === "worktree" ? draft.startFromOrigin : false;
+  await context.handleNewThread(projectRef, {
+    branch: source.branch ?? null,
+    worktreePath,
+    // A draft still owns its env mode outright; a real thread only ever ran
+    // in its own worktree or the local checkout.
+    envMode: (thread ? undefined : draft?.envMode) ?? (worktreePath ? "worktree" : "local"),
+    ...(startFromOrigin !== undefined ? { startFromOrigin } : {}),
+  });
+  return true;
+}
diff --git a/apps/web/src/routes/_chat.tsx b/apps/web/src/routes/_chat.tsx
index 5be294ae0061..b4e95615f925 100644
--- a/apps/web/src/routes/_chat.tsx
+++ b/apps/web/src/routes/_chat.tsx
@@ -15,7 +15,10 @@ import { buildSidebarProjectSnapshots } from "../sidebarProjectGrouping";
 import { dispatchPreviewAction } from "../components/preview/previewActionBus";
 import { useHandleNewThread } from "../hooks/useHandleNewThread";
 import { useScratchProject } from "../hooks/useScratchProject";
-import { startNewThreadFromContext } from "../lib/chatThreadActions";
+import {
+  startNewLocalThreadFromContext,
+  startNewThreadFromContext,
+} from "../lib/chatThreadActions";
 import { isPreviewFocused } from "../lib/previewFocus";
 import { isTerminalFocused } from "../lib/terminalFocus";
 import { isEditableFocused } from "../lib/editableFocus";
@@ -98,7 +101,7 @@ function ChatRouteGlobalShortcuts() {
       if (command === "chat.newLocal") {
         event.preventDefault();
         event.stopPropagation();
-        void startNewThreadFromContext({
+        void startNewLocalThreadFromContext({
           activeDraftThread,
           activeThread: activeThread ?? undefined,
           defaultProjectRef,