diff --git a/.gitignore b/.gitignore
index af66537..f6f0573 100644
--- a/.gitignore
+++ b/.gitignore
@@ -22,4 +22,5 @@ doc/
 .vagrant
 /cache
 
-/dummy-ubuntu-cloudimg.box
+/boxes/**/*.tar.gz
+/boxes/output/
diff --git a/boxes/ubuntu-cloud/lxc-ubuntu-cloud b/boxes/ubuntu-cloud/lxc-ubuntu-cloud
new file mode 100755
index 0000000..7f3e422
--- /dev/null
+++ b/boxes/ubuntu-cloud/lxc-ubuntu-cloud
@@ -0,0 +1,406 @@
+#!/bin/bash
+
+# template script for generating ubuntu container for LXC based on released cloud
+# images
+#
+# Copyright © 2012 Serge Hallyn <serge.hallyn@canonical.com>
+#
+# This program is free software; you can redistribute it and/or modify
+# it under the terms of the GNU General Public License version 2, as
+# published by the Free Software Foundation.
+
+# This program is distributed in the hope that it will be useful,
+# but WITHOUT ANY WARRANTY; without even the implied warranty of
+# MERCHANTABILITY or FITNESS FOR A PARTICULAR PURPOSE.  See the
+# GNU General Public License for more details.
+
+# You should have received a copy of the GNU General Public License along
+# with this program; if not, write to the Free Software Foundation, Inc.,
+# 51 Franklin Street, Fifth Floor, Boston, MA 02110-1301 USA.
+#
+
+set -e
+
+if [ -r /etc/default/lxc ]; then
+    . /etc/default/lxc
+fi
+
+copy_configuration()
+{
+    path=$1
+    rootfs=$2
+    name=$3
+    arch=$4
+    release=$5
+
+    if [ $arch = "i386" ]; then
+        arch="i686"
+    fi
+
+    # if there is exactly one veth network entry, make sure it has an
+    # associated hwaddr.
+    nics=`grep -e '^lxc\.network\.type[ \t]*=[ \t]*veth' $path/config | wc -l`
+    if [ $nics -eq 1 ]; then
+        grep -q "^lxc.network.hwaddr" $path/config || cat <<EOF >> $path/config
+lxc.network.hwaddr = 00:16:3e:$(openssl rand -hex 3| sed 's/\(..\)/\1:/g; s/.$//')
+EOF
+    fi
+
+    grep -q "^lxc.rootfs" $path/config 2>/dev/null || echo "lxc.rootfs = $rootfs" >> $path/config
+    cat <<EOF >> $path/config
+lxc.utsname = $name
+
+lxc.tty = 4
+lxc.pts = 1024
+lxc.mount  = $path/fstab
+lxc.arch = $arch
+lxc.cap.drop = sys_module mac_admin
+lxc.pivotdir = lxc_putold
+
+# uncomment the next line to run the container unconfined:
+#lxc.aa_profile = unconfined
+
+lxc.cgroup.devices.deny = a
+# Allow any mknod (but not using the node)
+lxc.cgroup.devices.allow = c *:* m
+lxc.cgroup.devices.allow = b *:* m
+# /dev/null and zero
+lxc.cgroup.devices.allow = c 1:3 rwm
+lxc.cgroup.devices.allow = c 1:5 rwm
+# consoles
+lxc.cgroup.devices.allow = c 5:1 rwm
+lxc.cgroup.devices.allow = c 5:0 rwm
+#lxc.cgroup.devices.allow = c 4:0 rwm
+#lxc.cgroup.devices.allow = c 4:1 rwm
+# /dev/{,u}random
+lxc.cgroup.devices.allow = c 1:9 rwm
+lxc.cgroup.devices.allow = c 1:8 rwm
+lxc.cgroup.devices.allow = c 136:* rwm
+lxc.cgroup.devices.allow = c 5:2 rwm
+# rtc
+lxc.cgroup.devices.allow = c 254:0 rwm
+#fuse
+lxc.cgroup.devices.allow = c 10:229 rwm
+#tun
+lxc.cgroup.devices.allow = c 10:200 rwm
+#full
+lxc.cgroup.devices.allow = c 1:7 rwm
+#hpet
+lxc.cgroup.devices.allow = c 10:228 rwm
+#kvm
+lxc.cgroup.devices.allow = c 10:232 rwm
+EOF
+
+    cat <<EOF > $path/fstab
+proc            proc         proc    nodev,noexec,nosuid 0 0
+sysfs           sys          sysfs defaults  0 0
+EOF
+
+    # rmdir /dev/shm for containers that have /run/shm
+    # I'm afraid of doing rm -rf $rootfs/dev/shm, in case it did
+    # get bind mounted to the host's /run/shm.  So try to rmdir
+    # it, and in case that fails move it out of the way.
+    if [ ! -L $rootfs/dev/shm ] && [ -d $rootfs/run/shm ] && [ -e $rootfs/dev/shm ]; then
+        mv $rootfs/dev/shm $rootfs/dev/shm.bak
+        ln -s /run/shm $rootfs/dev/shm
+    fi
+
+    return 0
+}
+
+usage()
+{
+    cat <<EOF
+LXC Container configuration for Ubuntu Cloud images.
+
+Generic Options
+[ -r | --release <release> ]: Release name of container, defaults to host
+[ -a | --arch ]: Arhcitecture of container, defaults to host arcitecture
+[ -C | --cloud ]: Configure container for use with meta-data service, defaults to no
+[ -T | --tarball ]: Location of tarball
+[ -d | --debug ]: Run with 'set -x' to debug errors
+[ -s | --stream]: Use specified stream rather than 'released'
+
+Options, mutually exclusive of "-C" and "--cloud":
+  [ -i | --hostid ]:    HostID for cloud-init, defaults to random string
+  [ -u | --userdata ]:  Cloud-init user-data file to configure container on start
+  [ -S | --auth-key ]:  SSH Public key file to inject into container
+  [ -L | --nolocales ]: Do not copy host's locales into container
+
+EOF
+    return 0
+}
+
+options=$(getopt -o a:hp:r:n:Fi:CLS:T:ds:u: -l arch:,help,path:,release:,name:,flush-cache,hostid:,auth-key:,cloud,no_locales,tarball:,debug,stream:,userdata: -- "$@")
+if [ $? -ne 0 ]; then
+    usage $(basename $0)
+    exit 1
+fi
+eval set -- "$options"
+
+release=lucid
+if [ -f /etc/lsb-release ]; then
+    . /etc/lsb-release
+    case "$DISTRIB_CODENAME" in
+        lucid|natty|oneiric|precise|quantal)
+            release=$DISTRIB_CODENAME
+        ;;
+    esac
+fi
+
+arch=$(arch)
+
+# Code taken from debootstrap
+if [ -x /usr/bin/dpkg ] && /usr/bin/dpkg --print-architecture >/dev/null 2>&1; then
+    arch=`/usr/bin/dpkg --print-architecture`
+elif type udpkg >/dev/null 2>&1 && udpkg --print-architecture >/dev/null 2>&1; then
+    arch=`/usr/bin/udpkg --print-architecture`
+else
+    arch=$(arch)
+    if [ "$arch" = "i686" ]; then
+        arch="i386"
+    elif [ "$arch" = "x86_64" ]; then
+        arch="amd64"
+    elif [ "$arch" = "armv7l" ]; then
+        # note: arm images don't exist before oneiric;  are called armhf in
+        # precise and later;  and are not supported by the query, so we don't actually
+        # support them yet (see check later on).  When Query2 is available,
+        # we'll use that to enable arm images.
+        arch="armel"
+    fi
+fi
+
+debug=0
+hostarch=$arch
+cloud=0
+locales=1
+flushcache=0
+stream="released"
+while true
+do
+    case "$1" in
+    -h|--help)         usage $0 && exit 0;;
+    -p|--path)         path=$2; shift 2;;
+    -n|--name)         name=$2; shift 2;;
+    -F|--flush-cache)  flushcache=1; shift 1;;
+    -r|--release)      release=$2; shift 2;;
+    -a|--arch)         arch=$2; shift 2;;
+    -i|--hostid)       host_id=$2; shift 2;;
+    -u|--userdata)     userdata=$2; shift 2;;
+    -C|--cloud)        cloud=1; shift 1;;
+    -S|--auth-key)     auth_key=$2; shift 2;;
+    -L|--no_locales)   locales=0; shift 1;;
+    -T|--tarball)      tarball=$2; shift 2;;
+    -d|--debug)        debug=1; shift 1;;
+    -s|--stream)       stream=$2; shift 2;;
+    --)                shift 1; break ;;
+        *)              break ;;
+    esac
+done
+
+if [ $debug -eq 1 ]; then
+    set -x
+fi
+
+if [ "$arch" == "i686" ]; then
+    arch=i386
+fi
+
+if [ $hostarch = "i386" -a $arch = "amd64" ]; then
+    echo "can't create amd64 container on i386"
+    exit 1
+fi
+
+if [ $arch != "i386" -a $arch != "amd64" ]; then
+    echo "Only i386 and amd64 are supported by the ubuntu cloud template."
+    exit 1
+fi
+
+if [ "$stream" != "daily" -a "$stream" != "released" ]; then
+    echo "Only 'daily' and 'released' streams are supported"
+    exit 1
+fi
+
+if [ -n "$userdata" ]; then
+    if [ ! -f "$userdata" ]; then
+        echo "Userdata ($userdata) does not exist"
+        exit 1
+    else
+        userdata=`readlink -f $userdata`
+    fi
+fi
+
+if [ -n "$auth_key" ]; then
+    if [ ! -f "$auth_key" ]; then
+        echo "--auth-key=${auth_key} must reference a file"
+        exit 1
+    fi
+    auth_key=$(readlink -f "${auth_key}") ||
+        { echo "failed to get full path for auth_key"; exit 1; }
+fi
+
+if [ -z "$path" ]; then
+    echo "'path' parameter is required"
+    exit 1
+fi
+
+if [ "$(id -u)" != "0" ]; then
+    echo "This script should be run as 'root'"
+    exit 1
+fi
+
+# detect rootfs
+config="$path/config"
+if grep -q '^lxc.rootfs' $config 2>/dev/null ; then
+    rootfs=`grep 'lxc.rootfs =' $config | awk -F= '{ print $2 }'`
+else
+    rootfs=$path/rootfs
+fi
+
+type ubuntu-cloudimg-query
+type wget
+
+# determine the url, tarball, and directory names
+# download if needed
+cache="/var/cache/lxc/cloud-$release"
+
+mkdir -p $cache
+
+if [ -n "$tarball" ]; then
+    url2="$tarball"
+else
+    url1=`ubuntu-cloudimg-query $release $stream $arch --format "%{url}\n"`
+    url2=`echo $url1 | sed -e 's/.tar.gz/-root\0/'`
+fi
+
+filename=`basename $url2`
+
+wgetcleanup()
+{
+    rm -f $filename
+}
+
+buildcleanup()
+{
+    cd $rootfs
+    umount -l $cache/$xdir || true
+    rm -rf $cache
+}
+
+# if the release doesn't have a *-rootfs.tar.gz, then create one from the
+# cloudimg.tar.gz by extracting the .img, mounting it loopback, and creating
+# a tarball from the mounted image.
+build_root_tgz()
+{
+    url=$1
+    filename=$2
+
+    xdir=`mktemp -d -p .`
+    tarname=`basename $url`
+    imgname="$release-*-cloudimg-$arch.img"
+    trap buildcleanup EXIT SIGHUP SIGINT SIGTERM
+    if [ $flushcache -eq 1 -o ! -f $cache/$tarname ]; then
+        rm -f $tarname
+        echo "Downloading cloud image from $url"
+        wget $url || { echo "Couldn't find cloud image $url."; exit 1; }
+    fi
+    echo "Creating new cached cloud image rootfs"
+    tar --wildcards -zxf $tarname $imgname
+    mount -o loop $imgname $xdir
+    (cd $xdir; tar zcf ../$filename .)
+    umount $xdir
+    rm -f $tarname $imgname
+    rmdir $xdir
+    echo "New cloud image cache created"
+    trap EXIT
+    trap SIGHUP
+    trap SIGINT
+    trap SIGTERM
+}
+
+mkdir -p /var/lock/subsys/
+(
+    flock -x 200
+
+    cd $cache
+    if [ $flushcache -eq 1 ]; then
+        echo "Clearing the cached images"
+        rm -f $filename
+    fi
+
+    trap wgetcleanup EXIT SIGHUP SIGINT SIGTERM
+    if [ ! -f $filename ]; then
+        wget $url2 || build_root_tgz $url1 $filename
+    fi
+    trap EXIT
+    trap SIGHUP
+    trap SIGINT
+    trap SIGTERM
+
+    echo "Extracting container rootfs"
+    mkdir -p $rootfs
+    cd $rootfs
+    tar --numeric-owner -zxf $cache/$filename
+
+
+    if [ $cloud -eq 0 ]; then
+        echo "Configuring for running outside of a cloud environment"
+        echo "If you want to configure for a cloud evironment, please use '-- -C' to create the container"
+
+        seed_d=$rootfs/var/lib/cloud/seed/nocloud-net
+        rhostid=$(uuidgen | cut -c -8)
+        host_id=${hostid:-$rhostid}
+        mkdir -p $seed_d
+
+        cat > "$seed_d/meta-data" <<EOF
+instance-id: lxc-$host_id
+EOF
+        if [ -n "$auth_key" ]; then
+            {
+            echo "public-keys:" &&
+            sed -e '/^$/d' -e 's,^,- ,' "$auth_key" "$auth_key"
+            } >> "$seed_d/meta-data"
+            [ $? -eq 0 ] ||
+                { echo "failed to write public keys to metadata"; exit 1; }
+        fi
+
+        rm $rootfs/etc/hostname
+
+        if [ $locales -eq 1 ]; then
+            cp /usr/lib/locale/locale-archive $rootfs/usr/lib/locale/locale-archive
+        fi
+
+        if [ -f "$userdata" ]; then
+            echo "Using custom user-data"
+            cp $userdata $seed_d/user-data
+        else
+
+            if [ -z "$MIRROR" ]; then
+                MIRROR="http://archive.ubuntu.com/ubuntu"
+            fi
+
+            cat > "$seed_d/user-data" <<EOF
+#cloud-config
+output: {all: '| tee -a /var/log/cloud-init-output.log'}
+apt_mirror: $MIRROR
+manage_etc_hosts: localhost
+locale: $(/usr/bin/locale | awk -F= '/LANG=/ {print$NF}')
+password: ubuntu
+chpasswd: { expire: False }
+EOF
+        fi
+
+    else
+
+        echo "Configured for running in a cloud environment."
+        echo "If you do not have a meta-data service, this container will likely be useless."
+
+    fi
+) 200>/var/lock/subsys/lxc-ubucloud
+
+copy_configuration $path $rootfs $name $arch $release
+
+echo "Container $name created."
+exit 0
+
+# vi: ts=4 expandtab
diff --git a/boxes/ubuntu-cloud/metadata.json b/boxes/ubuntu-cloud/metadata.json
new file mode 100644
index 0000000..45d00b9
--- /dev/null
+++ b/boxes/ubuntu-cloud/metadata.json
@@ -0,0 +1,7 @@
+{
+	"provider":            "lxc",
+	"vagrant-lxc-version": "0.0.1",
+	"template-name":       "lxc-ubuntu-cloud",
+	"after-create-script": "set-vagrant-user.sh",
+	"tar-cache":           "ubuntu-12.10-server-cloudimg-amd64-root.tar.gz"
+}
diff --git a/dummy-box-files/metadata.json b/dummy-box-files/metadata.json
deleted file mode 100644
index 959aa0e..0000000
--- a/dummy-box-files/metadata.json
+++ /dev/null
@@ -1 +0,0 @@
-{"provider":"lxc"}
diff --git a/setup-vagrant-dev-box b/setup-vagrant-dev-box
index 76db20b..5917bef 100755
--- a/setup-vagrant-dev-box
+++ b/setup-vagrant-dev-box
@@ -5,12 +5,11 @@ raise 'You should not run this script from the dev box' if ENV['USER'] == 'vagra
 require 'bundler'
 require 'json'
 
-IMAGE_ROOT   = 'https://cloud-images.ubuntu.com/releases/quantal/release-20130206'
-IMAGE_NAME   = 'ubuntu-12.10-server-cloudimg-amd64-root.tar.gz'
-VAGRANT_REPO = 'https://raw.github.com/mitchellh/vagrant/master'
+IMAGE_ROOT = 'https://cloud-images.ubuntu.com/releases/quantal/release-20130206'
+IMAGE_NAME = 'ubuntu-12.10-server-cloudimg-amd64-root.tar.gz'
 
 def download(source, destination)
-  destination = "#{File.dirname __FILE__}/cache/#{destination}"
+  destination = "#{File.dirname __FILE__}/#{destination}"
   return if File.exists?(destination)
 
   sh "wget #{source} -O #{destination}"
@@ -61,8 +60,8 @@ end
 # Fetches vagrant submodule
 `git submodule update --init`
 
-# Cache container image between vagrant box destructions
-download "#{IMAGE_ROOT}/#{IMAGE_NAME}", IMAGE_NAME
+# Download container image for building the base ubuntu-cloud box
+download "#{IMAGE_ROOT}/#{IMAGE_NAME}", "boxes/ubuntu-cloud/#{IMAGE_NAME}"
 
 # Start vagrant
 sh 'vagrant up'
diff --git a/tasks/boxes.rake b/tasks/boxes.rake
new file mode 100644
index 0000000..a2117ee
--- /dev/null
+++ b/tasks/boxes.rake
@@ -0,0 +1,10 @@
+namespace :boxes do
+  namespace :build do
+    desc 'Packages an Ubuntu cloud image as a Vagrant LXC box'
+    task 'ubuntu-cloud' do
+      sh 'mkdir -p boxes/output'
+      sh 'cp cache/ubuntu-12.10-server-cloudimg-amd64-root.tar.gz boxes/ubuntu-cloud'
+      sh 'cd boxes/ubuntu-cloud && tar -czf ../output/ubuntu-cloud.box ./*'
+    end
+  end
+end
diff --git a/tasks/package_dummy_box.rake b/tasks/package_dummy_box.rake
deleted file mode 100644
index 02bcec4..0000000
--- a/tasks/package_dummy_box.rake
+++ /dev/null
@@ -1,4 +0,0 @@
-desc 'Packages a dummy Vagrant box to be used during development'
-task :package_dummy_box do
-  sh 'cd dummy-box-files/ && tar -czf ../dummy-ubuntu-cloudimg.box ./*'
-end