diff --git a/.nextchanges/bundles/destroy-removes-bundle-directory.md b/.nextchanges/bundles/destroy-removes-bundle-directory.md
new file mode 100644
index 0000000000..41bed1e4c1
--- /dev/null
+++ b/.nextchanges/bundles/destroy-removes-bundle-directory.md
@@ -0,0 +1 @@
+`bundle destroy` now also removes the directory named after the bundle, not just the target directory beneath it, when `workspace.root_path` ends in `${bundle.name}/${bundle.target}` — which includes the default root path. It is removed non-recursively, so it stays in place while another target of the same bundle is still deployed there. Previously every destroy left an empty directory behind ([#6317](https://github.com/databricks/cli/pull/6317)).
diff --git a/acceptance/bundle/destroy/all-resources/output.txt b/acceptance/bundle/destroy/all-resources/output.txt
index f8eb4d90e0..eed7625730 100644
--- a/acceptance/bundle/destroy/all-resources/output.txt
+++ b/acceptance/bundle/destroy/all-resources/output.txt
@@ -21,3 +21,7 @@ Streaming Tables (STs) and Materialized Views (MVs) managed by them. Set 'cascad
 All files and directories at the following location will be deleted: /Workspace/Users/[USERNAME]/.bundle/test-bundle/default
 
 Destroy: 2 deleted
+
+=== Assert the bundle directory is deleted
+>>> musterr [CLI] workspace get-status //Workspace/Users/[USERNAME]/.bundle/test-bundle
+Error: Path (//Workspace/Users/[USERNAME]/.bundle/test-bundle) doesn't exist.
diff --git a/acceptance/bundle/destroy/all-resources/script b/acceptance/bundle/destroy/all-resources/script
index ceb8acee91..c9aa66b07f 100644
--- a/acceptance/bundle/destroy/all-resources/script
+++ b/acceptance/bundle/destroy/all-resources/script
@@ -1,2 +1,7 @@
 trace $CLI bundle deploy
 trace $CLI bundle destroy --auto-approve
+
+# Destroy removes the target directory, and the .bundle/<name> parent goes with it once
+# nothing else is deployed under it. Double slash keeps Windows from rewriting the path.
+title "Assert the bundle directory is deleted"
+trace musterr $CLI workspace get-status "//Workspace/Users/${CURRENT_USER_NAME}/.bundle/test-bundle"
diff --git a/acceptance/bundle/destroy/root-path-name-target/databricks.yml.tmpl b/acceptance/bundle/destroy/root-path-name-target/databricks.yml.tmpl
new file mode 100644
index 0000000000..0c0aa94f17
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-name-target/databricks.yml.tmpl
@@ -0,0 +1,5 @@
+bundle:
+  name: test-bundle
+
+workspace:
+  root_path: ~/.bundle/explicit-$UNIQUE_NAME/${bundle.name}/${bundle.target}
diff --git a/acceptance/bundle/destroy/root-path-name-target/out.test.toml b/acceptance/bundle/destroy/root-path-name-target/out.test.toml
new file mode 100644
index 0000000000..2a13818c13
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-name-target/out.test.toml
@@ -0,0 +1,2 @@
+Cloud = true
+EnvMatrix.DATABRICKS_BUNDLE_ENGINE = ["terraform", "direct"]
diff --git a/acceptance/bundle/destroy/root-path-name-target/output.txt b/acceptance/bundle/destroy/root-path-name-target/output.txt
new file mode 100644
index 0000000000..b880722ba8
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-name-target/output.txt
@@ -0,0 +1,23 @@
+
+>>> [CLI] bundle deploy
+Uploading bundle files to /Workspace/Users/[USERNAME]/.bundle/explicit-[UNIQUE_NAME]/test-bundle/default/files...
+Files: 5 uploaded, 0 deleted
+Resources: 0 created, 0 changed, 0 deleted, 0 unchanged
+
+>>> [CLI] bundle destroy --auto-approve
+All files and directories at the following location will be deleted: /Workspace/Users/[USERNAME]/.bundle/explicit-[UNIQUE_NAME]/test-bundle/default
+
+Destroy: 0 deleted
+
+=== Assert the bundle directory is deleted
+>>> musterr [CLI] workspace get-status //Workspace/Users/[USERNAME]/.bundle/explicit-[UNIQUE_NAME]/test-bundle
+Error: Path (//Workspace/Users/[USERNAME]/.bundle/explicit-[UNIQUE_NAME]/test-bundle) doesn't exist.
+
+=== Assert the prefix above it is kept
+>>> [CLI] workspace get-status //Workspace/Users/[USERNAME]/.bundle/explicit-[UNIQUE_NAME]
+{
+  "object_type": "DIRECTORY"
+}
+
+=== Clean up
+>>> [CLI] workspace delete //Workspace/Users/[USERNAME]/.bundle/explicit-[UNIQUE_NAME] --recursive
diff --git a/acceptance/bundle/destroy/root-path-name-target/script b/acceptance/bundle/destroy/root-path-name-target/script
new file mode 100644
index 0000000000..414a7ab4ba
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-name-target/script
@@ -0,0 +1,17 @@
+envsubst < databricks.yml.tmpl > databricks.yml
+
+PREFIX="//Workspace/Users/${CURRENT_USER_NAME}/.bundle/explicit-${UNIQUE_NAME}"
+
+trace $CLI bundle deploy
+trace $CLI bundle destroy --auto-approve
+
+# root_path spells out ${bundle.name}/${bundle.target}, so the directory named after the
+# bundle goes with the deployment even outside the default location.
+title "Assert the bundle directory is deleted"
+trace musterr $CLI workspace get-status "${PREFIX}/test-bundle"
+
+title "Assert the prefix above it is kept"
+trace $CLI workspace get-status "${PREFIX}" | jq '{object_type}'
+
+title "Clean up"
+trace $CLI workspace delete "${PREFIX}" --recursive
diff --git a/acceptance/bundle/destroy/root-path-name-target/test.toml b/acceptance/bundle/destroy/root-path-name-target/test.toml
new file mode 100644
index 0000000000..606a2ff06f
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-name-target/test.toml
@@ -0,0 +1,6 @@
+Cloud = true
+
+Ignore = [
+    "databricks.yml",
+    ".databricks/"
+]
diff --git a/acceptance/bundle/destroy/root-path-not-scoped/databricks.yml.tmpl b/acceptance/bundle/destroy/root-path-not-scoped/databricks.yml.tmpl
new file mode 100644
index 0000000000..8e8273a8d2
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-not-scoped/databricks.yml.tmpl
@@ -0,0 +1,5 @@
+bundle:
+  name: test-bundle
+
+workspace:
+  root_path: ~/.bundle/custom-root-$UNIQUE_NAME/inner
diff --git a/acceptance/bundle/destroy/root-path-not-scoped/out.test.toml b/acceptance/bundle/destroy/root-path-not-scoped/out.test.toml
new file mode 100644
index 0000000000..2a13818c13
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-not-scoped/out.test.toml
@@ -0,0 +1,2 @@
+Cloud = true
+EnvMatrix.DATABRICKS_BUNDLE_ENGINE = ["terraform", "direct"]
diff --git a/acceptance/bundle/destroy/root-path-not-scoped/output.txt b/acceptance/bundle/destroy/root-path-not-scoped/output.txt
new file mode 100644
index 0000000000..539e7d5d5e
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-not-scoped/output.txt
@@ -0,0 +1,19 @@
+
+>>> [CLI] bundle deploy
+Uploading bundle files to /Workspace/Users/[USERNAME]/.bundle/custom-root-[UNIQUE_NAME]/inner/files...
+Files: 5 uploaded, 0 deleted
+Resources: 0 created, 0 changed, 0 deleted, 0 unchanged
+
+>>> [CLI] bundle destroy --auto-approve
+All files and directories at the following location will be deleted: /Workspace/Users/[USERNAME]/.bundle/custom-root-[UNIQUE_NAME]/inner
+
+Destroy: 0 deleted
+
+=== Assert the parent directory is kept
+>>> [CLI] workspace get-status //Workspace/Users/[USERNAME]/.bundle/custom-root-[UNIQUE_NAME]
+{
+  "object_type": "DIRECTORY"
+}
+
+=== Clean up
+>>> [CLI] workspace delete //Workspace/Users/[USERNAME]/.bundle/custom-root-[UNIQUE_NAME] --recursive
diff --git a/acceptance/bundle/destroy/root-path-not-scoped/script b/acceptance/bundle/destroy/root-path-not-scoped/script
new file mode 100644
index 0000000000..f53ddf23cd
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-not-scoped/script
@@ -0,0 +1,14 @@
+envsubst < databricks.yml.tmpl > databricks.yml
+
+PARENT="//Workspace/Users/${CURRENT_USER_NAME}/.bundle/custom-root-${UNIQUE_NAME}"
+
+trace $CLI bundle deploy
+trace $CLI bundle destroy --auto-approve
+
+# root_path does not end in ${bundle.name}/${bundle.target}, so the directory above it is
+# not this bundle's and is left alone.
+title "Assert the parent directory is kept"
+trace $CLI workspace get-status "${PARENT}" | jq '{object_type}'
+
+title "Clean up"
+trace $CLI workspace delete "${PARENT}" --recursive
diff --git a/acceptance/bundle/destroy/root-path-not-scoped/test.toml b/acceptance/bundle/destroy/root-path-not-scoped/test.toml
new file mode 100644
index 0000000000..606a2ff06f
--- /dev/null
+++ b/acceptance/bundle/destroy/root-path-not-scoped/test.toml
@@ -0,0 +1,6 @@
+Cloud = true
+
+Ignore = [
+    "databricks.yml",
+    ".databricks/"
+]
diff --git a/acceptance/bundle/destroy/sibling-target/databricks.yml.tmpl b/acceptance/bundle/destroy/sibling-target/databricks.yml.tmpl
new file mode 100644
index 0000000000..6ae23ac093
--- /dev/null
+++ b/acceptance/bundle/destroy/sibling-target/databricks.yml.tmpl
@@ -0,0 +1,7 @@
+bundle:
+  name: test-bundle-$UNIQUE_NAME
+
+targets:
+  dev:
+    default: true
+  prod:
diff --git a/acceptance/bundle/destroy/sibling-target/out.test.toml b/acceptance/bundle/destroy/sibling-target/out.test.toml
new file mode 100644
index 0000000000..2a13818c13
--- /dev/null
+++ b/acceptance/bundle/destroy/sibling-target/out.test.toml
@@ -0,0 +1,2 @@
+Cloud = true
+EnvMatrix.DATABRICKS_BUNDLE_ENGINE = ["terraform", "direct"]
diff --git a/acceptance/bundle/destroy/sibling-target/output.txt b/acceptance/bundle/destroy/sibling-target/output.txt
new file mode 100644
index 0000000000..53cfe9c37e
--- /dev/null
+++ b/acceptance/bundle/destroy/sibling-target/output.txt
@@ -0,0 +1,32 @@
+
+>>> [CLI] bundle deploy -t dev
+Uploading bundle files to /Workspace/Users/[USERNAME]/.bundle/test-bundle-[UNIQUE_NAME]/dev/files...
+Files: 5 uploaded, 0 deleted
+Resources: 0 created, 0 changed, 0 deleted, 0 unchanged
+
+>>> [CLI] bundle deploy -t prod
+Uploading bundle files to /Workspace/Users/[USERNAME]/.bundle/test-bundle-[UNIQUE_NAME]/prod/files...
+Files: 5 uploaded, 0 deleted
+Resources: 0 created, 0 changed, 0 deleted, 0 unchanged
+
+=== Destroy one target while the other is still deployed
+>>> [CLI] bundle destroy -t dev --auto-approve
+All files and directories at the following location will be deleted: /Workspace/Users/[USERNAME]/.bundle/test-bundle-[UNIQUE_NAME]/dev
+
+Destroy: 0 deleted
+
+=== Assert the bundle directory is kept: the sibling target is still under it
+>>> [CLI] workspace get-status //Workspace/Users/[USERNAME]/.bundle/test-bundle-[UNIQUE_NAME]
+{
+  "object_type": "DIRECTORY"
+}
+
+=== Destroy the remaining target
+>>> [CLI] bundle destroy -t prod --auto-approve
+All files and directories at the following location will be deleted: /Workspace/Users/[USERNAME]/.bundle/test-bundle-[UNIQUE_NAME]/prod
+
+Destroy: 0 deleted
+
+=== Assert the bundle directory is deleted
+>>> musterr [CLI] workspace get-status //Workspace/Users/[USERNAME]/.bundle/test-bundle-[UNIQUE_NAME]
+Error: Path (//Workspace/Users/[USERNAME]/.bundle/test-bundle-[UNIQUE_NAME]) doesn't exist.
diff --git a/acceptance/bundle/destroy/sibling-target/script b/acceptance/bundle/destroy/sibling-target/script
new file mode 100644
index 0000000000..c77c90aa47
--- /dev/null
+++ b/acceptance/bundle/destroy/sibling-target/script
@@ -0,0 +1,19 @@
+envsubst < databricks.yml.tmpl > databricks.yml
+
+# Double slash keeps Windows from rewriting the path.
+BUNDLE_DIR="//Workspace/Users/${CURRENT_USER_NAME}/.bundle/test-bundle-${UNIQUE_NAME}"
+
+trace $CLI bundle deploy -t dev
+trace $CLI bundle deploy -t prod
+
+title "Destroy one target while the other is still deployed"
+trace $CLI bundle destroy -t dev --auto-approve
+
+title "Assert the bundle directory is kept: the sibling target is still under it"
+trace $CLI workspace get-status "${BUNDLE_DIR}" | jq '{object_type}'
+
+title "Destroy the remaining target"
+trace $CLI bundle destroy -t prod --auto-approve
+
+title "Assert the bundle directory is deleted"
+trace musterr $CLI workspace get-status "${BUNDLE_DIR}"
diff --git a/acceptance/bundle/destroy/sibling-target/test.toml b/acceptance/bundle/destroy/sibling-target/test.toml
new file mode 100644
index 0000000000..606a2ff06f
--- /dev/null
+++ b/acceptance/bundle/destroy/sibling-target/test.toml
@@ -0,0 +1,6 @@
+Cloud = true
+
+Ignore = [
+    "databricks.yml",
+    ".databricks/"
+]
diff --git a/acceptance/bundle/resource_deps/remote_app_url/output.txt b/acceptance/bundle/resource_deps/remote_app_url/output.txt
index 84d8da92e3..9301329af1 100644
--- a/acceptance/bundle/resource_deps/remote_app_url/output.txt
+++ b/acceptance/bundle/resource_deps/remote_app_url/output.txt
@@ -107,6 +107,13 @@ Destroy: 2 deleted
   "method": "DELETE",
   "path": "/api/2.0/pipelines/[UUID]"
 }
+{
+  "method": "POST",
+  "path": "/api/2.0/workspace/delete",
+  "body": {
+    "path": "/Workspace/Users/[USERNAME]/.bundle/test-bundle"
+  }
+}
 {
   "method": "POST",
   "path": "/api/2.0/workspace/delete",
diff --git a/acceptance/bundle/user_agent/output.txt b/acceptance/bundle/user_agent/output.txt
index 2107e7e2b1..809eb5b1de 100644
--- a/acceptance/bundle/user_agent/output.txt
+++ b/acceptance/bundle/user_agent/output.txt
@@ -59,6 +59,7 @@ OK  	destroy.direct	/api/2.0/workspace/get-status	engine/direct
 OK  	destroy.direct	/api/2.1/unity-catalog/schemas/mycatalog.myschema	engine/direct
 OK  	destroy.direct	/api/2.0/workspace-files/import-file/Workspace/Users/[USERNAME]/.bundle/test-bundle/default/state/deploy.lock	engine/direct
 OK  	destroy.direct	/api/2.0/workspace/delete	engine/direct
+OK  	destroy.direct	/api/2.0/workspace/delete	engine/direct
 MISS	destroy.direct	/.well-known/databricks-config	'cli/[CLI_VERSION] databricks-sdk-go/[SDK_VERSION] go/[GO_VERSION] os/[OS]'
 MISS	destroy.terraform	/api/2.0/preview/scim/v2/Me	'cli/[CLI_VERSION] databricks-sdk-go/[SDK_VERSION] go/[GO_VERSION] os/[OS] cmd/bundle_destroy cmd-exec-id/[UUID] interactive/none auth/pat'
 MISS	destroy.terraform	/api/2.0/workspace-files/Workspace/Users/[USERNAME]/.bundle/test-bundle/default/state/terraform.tfstate	'cli/[CLI_VERSION] databricks-sdk-go/[SDK_VERSION] go/[GO_VERSION] os/[OS] cmd/bundle_destroy cmd-exec-id/[UUID] interactive/none auth/pat'
@@ -70,6 +71,7 @@ OK  	destroy.terraform	/api/2.0/workspace/get-status	engine/terraform
 OK  	destroy.terraform	/api/2.0/workspace/get-status	engine/terraform
 OK  	destroy.terraform	/api/2.0/workspace-files/import-file/Workspace/Users/[USERNAME]/.bundle/test-bundle/default/state/deploy.lock	engine/terraform
 OK  	destroy.terraform	/api/2.0/workspace/delete	engine/terraform
+OK  	destroy.terraform	/api/2.0/workspace/delete	engine/terraform
 MISS	destroy.terraform	/.well-known/databricks-config	'cli/[CLI_VERSION] databricks-sdk-go/[SDK_VERSION] go/[GO_VERSION] os/[OS]'
 MISS	destroy.terraform	/api/2.1/unity-catalog/schemas/mycatalog.myschema	'databricks-tf-provider/[TF_PROVIDER_VERSION] databricks-sdk-go/[SDK_VERSION] go/1.25.8 os/[OS] cli/[CLI_VERSION] terraform/1.5.5 sdk/sdkv2 resource/schema auth/pat'
 MISS	destroy.terraform	/api/2.1/unity-catalog/current-metastore-assignment	'databricks-tf-provider/[TF_PROVIDER_VERSION] databricks-sdk-go/[SDK_VERSION] go/1.25.8 os/[OS] cli/[CLI_VERSION] terraform/1.5.5 sdk/sdkv2 resource/schema auth/pat'
diff --git a/acceptance/bundle/user_agent/simple/out.requests.destroy.direct.json b/acceptance/bundle/user_agent/simple/out.requests.destroy.direct.json
index c67f22e373..1e97537e4d 100644
--- a/acceptance/bundle/user_agent/simple/out.requests.destroy.direct.json
+++ b/acceptance/bundle/user_agent/simple/out.requests.destroy.direct.json
@@ -132,6 +132,18 @@
     "User": "[USERNAME]"
   }
 }
+{
+  "headers": {
+    "User-Agent": [
+      "cli/[CLI_VERSION] databricks-sdk-go/[SDK_VERSION] go/[GO_VERSION] os/[OS] cmd/bundle_destroy cmd-exec-id/[UUID] interactive/none engine/direct auth/pat"
+    ]
+  },
+  "method": "POST",
+  "path": "/api/2.0/workspace/delete",
+  "body": {
+    "path": "/Workspace/Users/[USERNAME]/.bundle/test-bundle"
+  }
+}
 {
   "headers": {
     "User-Agent": [
diff --git a/acceptance/bundle/user_agent/simple/out.requests.destroy.terraform.json b/acceptance/bundle/user_agent/simple/out.requests.destroy.terraform.json
index 09b923be4d..325ff5b60a 100644
--- a/acceptance/bundle/user_agent/simple/out.requests.destroy.terraform.json
+++ b/acceptance/bundle/user_agent/simple/out.requests.destroy.terraform.json
@@ -111,6 +111,18 @@
     "User": "[USERNAME]"
   }
 }
+{
+  "headers": {
+    "User-Agent": [
+      "cli/[CLI_VERSION] databricks-sdk-go/[SDK_VERSION] go/[GO_VERSION] os/[OS] cmd/bundle_destroy cmd-exec-id/[UUID] interactive/none engine/terraform auth/pat"
+    ]
+  },
+  "method": "POST",
+  "path": "/api/2.0/workspace/delete",
+  "body": {
+    "path": "/Workspace/Users/[USERNAME]/.bundle/test-bundle"
+  }
+}
 {
   "headers": {
     "User-Agent": [
diff --git a/bundle/bundle.go b/bundle/bundle.go
index bcceb75208..c58fba10d7 100644
--- a/bundle/bundle.go
+++ b/bundle/bundle.go
@@ -157,6 +157,11 @@ type Bundle struct {
 	// Target stores a snapshot of the Root.Bundle.Target configuration when it was selected by SelectTarget.
 	Target *config.Target `json:"target_config,omitempty" bundle:"internal"`
 
+	// RootPathIsNameTargetScoped reports whether workspace.root_path ends in the bundle
+	// name and target. Recorded before variable resolution, so a path that only happens
+	// to end in those two segments does not count.
+	RootPathIsNameTargetScoped bool
+
 	// Metadata about the bundle deployment. This is the interface Databricks services
 	// rely on to integrate with bundles when they need additional information about
 	// a bundle deployment.
diff --git a/bundle/config/mutator/default_workspace_root.go b/bundle/config/mutator/default_workspace_root.go
index d7c24a5b55..b7571afbb8 100644
--- a/bundle/config/mutator/default_workspace_root.go
+++ b/bundle/config/mutator/default_workspace_root.go
@@ -3,11 +3,16 @@ package mutator
 import (
 	"context"
 	"fmt"
+	"strings"
 
 	"github.com/databricks/cli/bundle"
 	"github.com/databricks/cli/libs/diag"
 )
 
+// How the bundle name and target appear in a configured root_path, which this mutator
+// sees before variable resolution replaces them.
+const nameTargetSuffix = "${bundle.name}/${bundle.target}"
+
 type defineDefaultWorkspaceRoot struct{}
 
 // DefineDefaultWorkspaceRoot defines the default workspace root path.
@@ -21,6 +26,7 @@ func (m *defineDefaultWorkspaceRoot) Name() string {
 
 func (m *defineDefaultWorkspaceRoot) Apply(ctx context.Context, b *bundle.Bundle) diag.Diagnostics {
 	if b.Config.Workspace.RootPath != "" {
+		b.RootPathIsNameTargetScoped = endsWithNameAndTarget(b.Config.Workspace.RootPath)
 		return nil
 	}
 
@@ -37,5 +43,13 @@ func (m *defineDefaultWorkspaceRoot) Apply(ctx context.Context, b *bundle.Bundle
 		b.Config.Bundle.Name,
 		b.Config.Bundle.Target,
 	)
+	b.RootPathIsNameTargetScoped = true
 	return nil
 }
+
+// endsWithNameAndTarget reports whether rootPath ends in the bundle name and target
+// references. Matched as a plain string: rootPath is not interpolated yet, so path
+// operations on it are not reliable.
+func endsWithNameAndTarget(rootPath string) bool {
+	return strings.HasSuffix(strings.TrimSuffix(rootPath, "/"), nameTargetSuffix)
+}
diff --git a/bundle/config/mutator/default_workspace_root_test.go b/bundle/config/mutator/default_workspace_root_test.go
index ad5dac4e42..0a26c7ad59 100644
--- a/bundle/config/mutator/default_workspace_root_test.go
+++ b/bundle/config/mutator/default_workspace_root_test.go
@@ -24,3 +24,38 @@ func TestDefaultWorkspaceRoot(t *testing.T) {
 
 	assert.Equal(t, "~/.bundle/name/environment", b.Config.Workspace.RootPath)
 }
+
+func TestDefaultWorkspaceRootIsNameTargetScoped(t *testing.T) {
+	tcases := []struct {
+		name     string
+		rootPath string
+		scoped   bool
+	}{
+		{"defaulted", "", true},
+		{"name and target references", "~/.bundle/${bundle.name}/${bundle.target}", true},
+		{"references under another prefix", "/Workspace/Shared/${bundle.name}/${bundle.target}", true},
+		{"trailing slash", "~/.bundle/${bundle.name}/${bundle.target}/", true},
+		// Already-resolved segments are indistinguishable from a literal path that
+		// happens to match, so they do not count.
+		{"resolved values", "~/.bundle/name/environment", false},
+		{"target only", "~/.bundle/${bundle.target}", false},
+		{"name only", "~/.bundle/${bundle.name}", false},
+		{"extra segment below", "~/.bundle/${bundle.name}/${bundle.target}/inner", false},
+		{"unrelated path", "/Workspace/Shared/some/path", false},
+	}
+
+	for _, tc := range tcases {
+		t.Run(tc.name, func(t *testing.T) {
+			b := &bundle.Bundle{
+				Config: config.Root{
+					Bundle:    config.Bundle{Name: "name", Target: "environment"},
+					Workspace: config.Workspace{RootPath: tc.rootPath},
+				},
+			}
+			diags := bundle.Apply(t.Context(), b, mutator.DefineDefaultWorkspaceRoot())
+			require.NoError(t, diags.Error())
+
+			assert.Equal(t, tc.scoped, b.RootPathIsNameTargetScoped)
+		})
+	}
+}
diff --git a/bundle/deploy/files/delete.go b/bundle/deploy/files/delete.go
index 562437e543..c30262f79c 100644
--- a/bundle/deploy/files/delete.go
+++ b/bundle/deploy/files/delete.go
@@ -6,9 +6,11 @@ import (
 	"fmt"
 	"io/fs"
 	"os"
+	"path"
 
 	"github.com/databricks/cli/bundle"
 	"github.com/databricks/cli/libs/diag"
+	"github.com/databricks/cli/libs/log"
 	"github.com/databricks/cli/libs/sync"
 	"github.com/databricks/databricks-sdk-go/service/workspace"
 )
@@ -28,6 +30,8 @@ func (m *delete) Apply(ctx context.Context, b *bundle.Bundle) diag.Diagnostics {
 		return diag.FromErr(err)
 	}
 
+	removeBundleNameDir(ctx, b)
+
 	// Clean up sync snapshot file
 	err = deleteSnapshotFile(ctx, b)
 	if err != nil {
@@ -36,6 +40,21 @@ func (m *delete) Apply(ctx context.Context, b *bundle.Bundle) diag.Diagnostics {
 	return nil
 }
 
+// removeBundleNameDir removes the directory named after the bundle now that the
+// deployment under it is gone. Not recursive, so it fails harmlessly while another
+// target is still deployed there.
+func removeBundleNameDir(ctx context.Context, b *bundle.Bundle) {
+	if !b.RootPathIsNameTargetScoped {
+		return
+	}
+
+	dir := path.Dir(b.Config.Workspace.RootPath)
+	err := b.WorkspaceClient(ctx).Workspace.Delete(ctx, workspace.Delete{Path: dir})
+	if err != nil {
+		log.Infof(ctx, "Leaving %s in place: %s", dir, err)
+	}
+}
+
 func deleteSnapshotFile(ctx context.Context, b *bundle.Bundle) error {
 	opts, err := GetSyncOptions(ctx, b)
 	if err != nil {
diff --git a/libs/testserver/fake_workspace.go b/libs/testserver/fake_workspace.go
index 1caec84d1e..64fafb322a 100644
--- a/libs/testserver/fake_workspace.go
+++ b/libs/testserver/fake_workspace.go
@@ -698,9 +698,21 @@ func (s *FakeWorkspace) WorkspaceExport(path string) []byte {
 	return s.files[path].Data
 }
 
-func (s *FakeWorkspace) WorkspaceDelete(path string, recursive bool) {
+// WorkspaceDelete implements POST /api/2.0/workspace/delete. As in the real API, a
+// non-recursive delete of a directory that still has children fails instead of removing
+// it, which is what lets a caller delete a directory only if it is empty.
+func (s *FakeWorkspace) WorkspaceDelete(path string, recursive bool) Response {
 	defer s.LockUnlock()()
 	if !recursive {
+		if _, isDir := s.directories[path]; isDir && s.hasChildren(path) {
+			return Response{
+				StatusCode: 400,
+				Body: map[string]string{
+					"error_code": "DIRECTORY_NOT_EMPTY",
+					"message":    "Folder (" + path + ") is not empty",
+				},
+			}
+		}
 		delete(s.files, path)
 		delete(s.directories, path)
 	} else {
@@ -715,6 +727,24 @@ func (s *FakeWorkspace) WorkspaceDelete(path string, recursive bool) {
 			}
 		}
 	}
+	return Response{}
+}
+
+// hasChildren reports whether any file or directory lives under dirPath. Callers must
+// hold the lock.
+func (s *FakeWorkspace) hasChildren(dirPath string) bool {
+	prefix := dirPath + "/"
+	for key := range s.files {
+		if strings.HasPrefix(key, prefix) {
+			return true
+		}
+	}
+	for key := range s.directories {
+		if strings.HasPrefix(key, prefix) {
+			return true
+		}
+	}
+	return false
 }
 
 func (s *FakeWorkspace) WorkspaceFilesImportFile(filePath string, body []byte, overwrite bool) Response {
diff --git a/libs/testserver/handlers.go b/libs/testserver/handlers.go
index 099230ad94..1cc037dcb6 100644
--- a/libs/testserver/handlers.go
+++ b/libs/testserver/handlers.go
@@ -143,8 +143,7 @@ func AddDefaultHandlers(server *Server) {
 				StatusCode: 500,
 			}
 		}
-		req.Workspace.WorkspaceDelete(request.Path, request.Recursive)
-		return ""
+		return req.Workspace.WorkspaceDelete(request.Path, request.Recursive)
 	})
 
 	server.Handle("POST", "/api/2.0/workspace-files/import-file/{path...}", func(req Request) any {
diff --git a/libs/testserver/workspace_test.go b/libs/testserver/workspace_test.go
index 5e4753246c..cde1c9741c 100644
--- a/libs/testserver/workspace_test.go
+++ b/libs/testserver/workspace_test.go
@@ -31,6 +31,18 @@ func mkdirs(t *testing.T, baseURL, path string) {
 	require.Equal(t, 200, resp.StatusCode)
 }
 
+func workspaceDelete(t *testing.T, baseURL, path string, recursive bool) int {
+	t.Helper()
+	body, err := json.Marshal(map[string]any{"path": path, "recursive": recursive})
+	require.NoError(t, err)
+	req, _ := http.NewRequest(http.MethodPost, baseURL+"/api/2.0/workspace/delete", strings.NewReader(string(body)))
+	req.Header.Set("Authorization", "Bearer test-token")
+	resp, err := http.DefaultClient.Do(req)
+	require.NoError(t, err)
+	defer resp.Body.Close()
+	return resp.StatusCode
+}
+
 func getStatus(t *testing.T, baseURL, path string) int {
 	t.Helper()
 	req, _ := http.NewRequest(http.MethodGet, baseURL+"/api/2.0/workspace/get-status?path="+path, nil)
@@ -53,6 +65,29 @@ func TestWorkspaceImportRejectsMissingParent(t *testing.T) {
 	assert.Equal(t, 200, importFile(t, server.URL, "/test-dir/file.py", "content"))
 }
 
+// A non-recursive delete only removes a directory that is truly empty, which is what
+// lets a caller clean up a parent directory without touching one still in use.
+func TestWorkspaceDeleteNonRecursiveRequiresEmptyDirectory(t *testing.T) {
+	server := testserver.New(t)
+	testserver.AddDefaultHandlers(server)
+
+	// A subdirectory keeps the parent.
+	mkdirs(t, server.URL, "/a/b/c")
+	assert.Equal(t, 400, workspaceDelete(t, server.URL, "/a/b", false))
+	assert.Equal(t, 200, getStatus(t, server.URL, "/a/b"))
+
+	// So does a file.
+	mkdirs(t, server.URL, "/f/dir")
+	require.Equal(t, 200, importFile(t, server.URL, "/f/dir/file.py", "content"))
+	assert.Equal(t, 400, workspaceDelete(t, server.URL, "/f/dir", false))
+	assert.Equal(t, 200, getStatus(t, server.URL, "/f/dir"))
+
+	// Emptied out, both go.
+	assert.Equal(t, 200, workspaceDelete(t, server.URL, "/a/b/c", false))
+	assert.Equal(t, 200, workspaceDelete(t, server.URL, "/a/b", false))
+	assert.Equal(t, 404, getStatus(t, server.URL, "/a/b"))
+}
+
 // mkdirs creates all intermediate directories, matching "mkdir -p".
 func TestWorkspaceMkdirsRecursive(t *testing.T) {
 	server := testserver.New(t)