diff --git a/src/File.cc b/src/File.cc
index a5b2adb..3857b5b 100644
--- a/src/File.cc
+++ b/src/File.cc
@@ -43,11 +43,11 @@ File::File(const std::filesystem::path& filename, const std::filesystem::path& b
     source_directory = filename.parent_path();
     build_filename = replace_extension(build_directory / source_filename.filename(), "ninja");
 
-    bindings.add(std::make_shared<FilenameVariable>("build_directory", FilenameList{Filename{Filename::Type::BUILD, build_directory.string()}}));
-    bindings.add(std::make_shared<FilenameVariable>("source_directory", FilenameList{Filename{Filename::Type::SOURCE, source_directory.string()}}));
+    bindings.add(std::make_shared<FilenameVariable>("build_directory", FilenameList{Filename{Filename::Type::COMPLETE, build_directory.string()}}));
+    bindings.add(std::make_shared<FilenameVariable>("source_directory", FilenameList{Filename{Filename::Type::COMPLETE, source_directory.string()}}));
     if (is_top()) {
-        bindings.add(std::make_shared<FilenameVariable>("top_build_directory", FilenameList{Filename{Filename::Type::BUILD, build_directory.string()}}));
-        bindings.add(std::make_shared<FilenameVariable>("top_source_directory", FilenameList{Filename{Filename::Type::SOURCE,source_directory.string()}}));
+        bindings.add(std::make_shared<FilenameVariable>("top_build_directory", FilenameList{Filename{Filename::Type::COMPLETE, top_file()->build_directory.string()}}));
+        bindings.add(std::make_shared<FilenameVariable>("top_source_directory", FilenameList{Filename{Filename::Type::COMPLETE, top_file()->source_directory.string()}}));
     }
 
     parse(filename);
@@ -61,11 +61,11 @@ void File::process() {
     if (is_top()) {
         auto bindings = Bindings{};
         bindings.add(std::shared_ptr<Variable>(new TextVariable{"command", Text{std::vector<Word>{
-                Word{"fast-ninja"},
-                Word{" "},
-                Word{source_directory}
+                Word{"fast-ninja", false},
+                Word{" ", false},
+                Word{source_directory, true}
             }}}));
-        bindings.add(std::shared_ptr<Variable>(new TextVariable{"generator", Text{"1"}}));
+        bindings.add(std::shared_ptr<Variable>(new TextVariable{"generator", Text{"1", false}}));
 
         rules["fast-ninja"] = Rule(this, "fast-ninja", bindings);
         auto outputs = std::vector<Filename>{};
diff --git a/src/File.h b/src/File.h
index e3a2723..e95e525 100644
--- a/src/File.h
+++ b/src/File.h
@@ -60,7 +60,7 @@ class File: public Scope {
     void create_output() const;
 
     const File* next_file() const;
-    const File* top_file() const;
+    const File* top_file() const {return top()->as_file();}
 
     std::filesystem::path source_directory;
     std::filesystem::path build_directory;
diff --git a/src/Text.cc b/src/Text.cc
index df5128b..224946c 100644
--- a/src/Text.cc
+++ b/src/Text.cc
@@ -42,7 +42,7 @@ Text::Text(Tokenizer& tokenizer) {
         if (token.type == Tokenizer::TokenType::NEWLINE) {
             break;
         }
-        words.emplace_back(token.string());
+        words.emplace_back(token.string(), false);
     }
 }
 
diff --git a/src/Text.h b/src/Text.h
index ede553e..8b5fef0 100644
--- a/src/Text.h
+++ b/src/Text.h
@@ -53,8 +53,8 @@ class Variable;
 class Text {
   public:
     Text() = default;
-    Text(Tokenizer& tokenizer);
-    explicit Text(std::string value): Text{std::vector<Word>{Word{std::move(value)}}} {}
+    explicit Text(Tokenizer& tokenizer);
+    explicit Text(std::string value, bool escape): Text{std::vector<Word>{Word{std::move(value), escape}}} {}
     explicit Text(std::vector<Word> elements): words{std::move(elements)} {}
 
     void append(const Text& other) {words.insert(words.end(), other.words.begin(), other.words.end());}
diff --git a/src/Word.cc b/src/Word.cc
index 7a97e07..e009855 100644
--- a/src/Word.cc
+++ b/src/Word.cc
@@ -47,7 +47,7 @@ Word::Word(Tokenizer& tokenizer) {
 
         if (token.is_variable_refrence()) {
             if (!string.empty()) {
-                elements.emplace_back(string);
+                elements.emplace_back(StringElement{string, true});
                 string = "";
             }
             elements.emplace_back(VariableReference(token.value));
@@ -57,12 +57,12 @@ Word::Word(Tokenizer& tokenizer) {
             elements.emplace_back(FilenameWord(tokenizer));
         }
         else {
-            string += token.value;
+            string += token.string();
         }
     }
 
     if (!string.empty()) {
-        elements.emplace_back(string);
+        elements.emplace_back(StringElement{string, true});
     }
 }
 
@@ -82,8 +82,8 @@ void Word::print(std::ostream& stream) const {
     const FilenameWord* filename_word{};
 
     for (auto& element: elements) {
-        if (std::holds_alternative<std::string>(element)) {
-            *current_string += std::get<std::string>(element);
+        if (std::holds_alternative<StringElement>(element)) {
+            *current_string += std::get<StringElement>(element).string();
         }
         else if (std::holds_alternative<VariableReference>(element)) {
             auto& variable = std::get<VariableReference>(element);
@@ -143,7 +143,7 @@ void Word::resolve(const ResolveContext& context) {
             auto& variable_reference = std::get<VariableReference>(element);
             variable_reference.resolve(context);
             if (variable_reference.is_text_variable()) {
-                element = variable_reference.variable->string();
+                element = StringElement{variable_reference.variable->string(), true};
             }
         }
         else if (std::holds_alternative<FilenameWord>(element)) {
@@ -153,7 +153,25 @@ void Word::resolve(const ResolveContext& context) {
     }
 }
 
+
 std::ostream& operator<<(std::ostream& stream, const Word& word) {
     word.print(stream);
     return stream;
 }
+
+std::string Word::StringElement::string() const {
+    if (!escape || text.find(' ') == std::string::npos) {
+        return text;
+    }
+
+    std::string escaped;
+    for (char c : text) {
+        if (c == ' ') {
+            escaped += "$ ";
+        }
+        else {
+            escaped += c;
+        }
+    }
+    return escaped;
+}
diff --git a/src/Word.h b/src/Word.h
index 63c46c4..f1af593 100644
--- a/src/Word.h
+++ b/src/Word.h
@@ -45,8 +45,8 @@ class FilenameWord;
 
 class Word {
   public:
-    Word(Tokenizer& tokenizer);
-    explicit Word(std::string text) {elements.emplace_back(std::move(text));};
+    explicit Word(Tokenizer& tokenizer);
+    explicit Word(std::string text, bool escape) {elements.emplace_back(StringElement(std::move(text), escape));};
     explicit Word(VariableReference variable_reference) {elements.emplace_back(variable_reference);}
     Word() = default;
 
@@ -58,11 +58,19 @@ class Word {
     void resolve(const ResolveContext& scope);
 
   private:
-    void append_string(std::string string) { elements.emplace_back(std::move(string)); }
-    void append_variable(std::string string) { elements.emplace_back(VariableReference(std::move(string))); }
-    void append_filename(FilenameWord filname) {elements.emplace_back(std::move(filname));}
+    class StringElement {
+      public:
+        StringElement(std::string text, bool escape): text{std::move(text)}, escape{escape} {}
+        StringElement() = default;
 
-    std::vector<std::variant<std::string, VariableReference, FilenameWord>> elements;
+        [[nodiscard]] std::string string() const;
+
+      private:
+        std::string text;
+        bool escape{false};
+    };
+
+    std::vector<std::variant<StringElement, VariableReference, FilenameWord>> elements;
 };
 
 std::ostream& operator<<(std::ostream& stream, const Word& word);
diff --git a/tests/special-characters.test b/tests/special-characters.test
new file mode 100644
index 0000000..52158ca
--- /dev/null
+++ b/tests/special-characters.test
@@ -0,0 +1,18 @@
+arguments ..
+file build.fninja <>
+rule a
+    command = a rule build = "a$ b" |@ || | @
+end-of-inline-data
+file build/build.ninja {} <>
+# This file is automatically created by fast-ninja from ../build.fninja
+# Do not edit.
+
+rule a
+    command = a rule build = "a$ b" |@ || | @
+
+rule fast-ninja
+    command = fast-ninja ..
+    generator = 1
+
+build build.ninja : fast-ninja ../build.fninja
+end-of-inline-data
diff --git a/tests/special_directories.test b/tests/special_directories.test
new file mode 100644
index 0000000..97b20a4
--- /dev/null
+++ b/tests/special_directories.test
@@ -0,0 +1,37 @@
+arguments ..
+file build.fninja <>
+rule a
+    command = a $in
+
+build test: a $build_directory $source_directory $top_build_directory $top_source_directory
+
+subninja src/build.fninja
+end-of-inline-data
+file src/build.fninja <>
+build test: a $build_directory $source_directory $top_build_directory $top_source_directory
+end-of-inline-data
+
+file build/build.ninja {} <>
+# This file is automatically created by fast-ninja from ../build.fninja
+# Do not edit.
+
+rule a
+    command = a $in
+
+rule fast-ninja
+    command = fast-ninja ..
+    generator = 1
+
+build test : a . .. . ..
+
+build build.ninja src/build.ninja : fast-ninja ../build.fninja ../src/build.fninja
+
+subninja src/build.ninja
+end-of-inline-data
+
+file build/src/build.ninja {} <>
+# This file is automatically created by fast-ninja from ../src/build.fninja
+# Do not edit.
+
+build src/test : a src ../src . ..
+end-of-inline-data