diff --git a/packages/ui/src/lib/stores/agents.ts b/packages/ui/src/lib/stores/agents.ts
index 1c800ea..af99be0 100644
--- a/packages/ui/src/lib/stores/agents.ts
+++ b/packages/ui/src/lib/stores/agents.ts
@@ -4,7 +4,7 @@
  * Context routing happens automatically — user just picks which session to talk to.
  */
 
-import { writable, derived } from 'svelte/store';
+import { writable, derived, get } from 'svelte/store';
 
 export type ContextDepth = 'minimal' | 'light' | 'standard' | 'heavy' | 'full';
 
diff --git a/packages/ui/src/lib/stores/loader.ts b/packages/ui/src/lib/stores/loader.ts
index d9975f9..9b7018c 100644
--- a/packages/ui/src/lib/stores/loader.ts
+++ b/packages/ui/src/lib/stores/loader.ts
@@ -27,6 +27,31 @@ export async function loadGraphFromUrl(url: string): Promise<void> {
   graphStore.set(graph);
 }
 
+/**
+ * Load the graph for the project the Workstation backend is running in.
+ * Tries `/api/graph/current` first (which reads `.klonode/graph.json` from
+ * the server cwd), and falls back to `/demo-graph.json` if no real graph
+ * exists. This means a fresh user who has run `klonode init` in their
+ * project sees the real tree, not a fake `demo-project`. See #64 /
+ * self-hosting survival work.
+ */
+export async function loadGraphForCurrentProject(): Promise<
+  'real' | 'demo'
+> {
+  try {
+    const res = await fetch('/api/graph/current');
+    if (res.ok) {
+      const data: SerializedGraph = await res.json();
+      graphStore.set(hydrateGraph(data));
+      return 'real';
+    }
+  } catch {
+    // fall through to demo
+  }
+  await loadGraphFromUrl('/demo-graph.json');
+  return 'demo';
+}
+
 /**
  * Convert serialized JSON into a proper RoutingGraph with Maps.
  */
diff --git a/packages/ui/src/routes/+page.svelte b/packages/ui/src/routes/+page.svelte
index dc91cfa..4f8d542 100644
--- a/packages/ui/src/routes/+page.svelte
+++ b/packages/ui/src/routes/+page.svelte
@@ -1,7 +1,7 @@
 <script lang="ts">
   import { onMount } from 'svelte';
   import { viewMode } from '$lib/stores/graph';
-  import { loadGraphFromUrl } from '$lib/stores/loader';
+  import { loadGraphForCurrentProject } from '$lib/stores/loader';
   import TreeView from '$lib/components/TreeView/TreeView.svelte';
   import GraphView from '$lib/components/GraphView/GraphView.svelte';
   import ContextEditor from '$lib/components/Editor/ContextEditor.svelte';
@@ -11,10 +11,14 @@
   let loaded = false;
   let error = '';
   let showChat = true;
+  let graphSource: 'real' | 'demo' | null = null;
 
   onMount(async () => {
     try {
-      await loadGraphFromUrl('/demo-graph.json');
+      // Prefer the graph for the project the server is running in. Falls
+      // back to the bundled demo fixture only if no .klonode/graph.json
+      // exists for the server's cwd.
+      graphSource = await loadGraphForCurrentProject();
       loaded = true;
     } catch (e) {
       error = e instanceof Error ? e.message : 'Failed to load graph';
diff --git a/packages/ui/src/routes/api/chat/stream/+server.ts b/packages/ui/src/routes/api/chat/stream/+server.ts
index 906c481..3771c75 100644
--- a/packages/ui/src/routes/api/chat/stream/+server.ts
+++ b/packages/ui/src/routes/api/chat/stream/+server.ts
@@ -25,7 +25,20 @@ interface StreamRequest {
 export const POST: RequestHandler = async ({ request }) => {
   const body: StreamRequest = await request.json();
   const cliPath = body.cliPath || 'claude';
-  const cwd = body.repoPath || process.cwd();
+  // Validate repoPath exists on disk — otherwise fall back to the server's
+  // cwd. The shipped demo graph has `/path/to/your/project` as a placeholder,
+  // and if the user never configured a real repo path the first chat send
+  // would spawn the CLI in a nonexistent directory and fail with an opaque
+  // error. Falling back to process.cwd() gives a sane default.
+  let cwd = body.repoPath || process.cwd();
+  if (body.repoPath && !existsSync(body.repoPath)) {
+    console.warn(
+      `[Klonode Stream] repoPath "${body.repoPath}" does not exist on disk; ` +
+      `falling back to process.cwd() = "${process.cwd()}". ` +
+      `Configure a real repo path via settings or reinitialize the graph.`,
+    );
+    cwd = process.cwd();
+  }
 
   // Build system prompt
   let systemPrompt: string;
diff --git a/packages/ui/src/routes/api/graph/current/+server.ts b/packages/ui/src/routes/api/graph/current/+server.ts
new file mode 100644
index 0000000..b70ee11
--- /dev/null
+++ b/packages/ui/src/routes/api/graph/current/+server.ts
@@ -0,0 +1,80 @@
+/**
+ * GET /api/graph/current
+ *
+ * Returns the routing graph for the actual project the Workstation backend
+ * is running in. Reads `.klonode/graph.json` from the server's cwd (or from
+ * a path supplied via the `repoPath` query string). If no graph exists, the
+ * endpoint responds 404 so the client can fall back to the bundled demo
+ * fixture.
+ *
+ * Without this endpoint the Workstation always loaded `/demo-graph.json`
+ * at boot, so every user saw a fake `demo-project` tree with `app / lib /
+ * tests` folders no matter which real repo they had Klonode running in.
+ */
+
+import { json } from '@sveltejs/kit';
+import { existsSync, readFileSync } from 'fs';
+import { join, dirname } from 'path';
+import type { RequestHandler } from './$types';
+
+/**
+ * Walk up from `start` looking for `.klonode/graph.json`. Returns the
+ * directory that contains it, or `null` if we hit the filesystem root.
+ *
+ * This is needed because the dev server's cwd is usually `packages/ui/`
+ * (where launch.json's `cwd` points), not the repo root. A fresh user
+ * running `pnpm dev` inside any package should still see their project's
+ * real graph, not the bundled demo fixture.
+ */
+function findKlonodeRoot(start: string): string | null {
+  let dir = start;
+  const { root } = { root: dir.match(/^[A-Z]:\\|^\//)?.[0] ?? '/' };
+  let guard = 0;
+  while (dir && dir !== root && guard++ < 50) {
+    if (existsSync(join(dir, '.klonode', 'graph.json'))) return dir;
+    const parent = dirname(dir);
+    if (parent === dir) break;
+    dir = parent;
+  }
+  return null;
+}
+
+export const GET: RequestHandler = async ({ url }) => {
+  const explicit = url.searchParams.get('repoPath');
+  const startDir = explicit || process.cwd();
+  const repoPath = explicit && existsSync(join(explicit, '.klonode', 'graph.json'))
+    ? explicit
+    : findKlonodeRoot(startDir);
+
+  if (!repoPath) {
+    return json(
+      {
+        error: 'no .klonode/graph.json found walking up from server cwd',
+        searchedFrom: startDir,
+        hint: 'run `klonode init` in your project root, or pass ?repoPath=<abs> to target a specific project',
+      },
+      { status: 404 },
+    );
+  }
+
+  const graphPath = join(repoPath, '.klonode', 'graph.json');
+
+  try {
+    const raw = readFileSync(graphPath, 'utf-8');
+    const graph = JSON.parse(raw);
+    // Make sure repoPath is set so the ChatPanel's spawn path finds the
+    // right cwd even if the stored graph was generated on another machine.
+    if (!graph.repoPath || graph.repoPath === '' || graph.repoPath === '/path/to/your/project') {
+      graph.repoPath = repoPath;
+    }
+    return json(graph);
+  } catch (err) {
+    return json(
+      {
+        error: 'failed to parse .klonode/graph.json',
+        detail: err instanceof Error ? err.message : String(err),
+      },
+      { status: 500 },
+    );
+  }
+};
diff --git a/packages/ui/static/demo-graph.json b/packages/ui/static/demo-graph.json
index d830184..5edf3ff 100644
--- a/packages/ui/static/demo-graph.json
+++ b/packages/ui/static/demo-graph.json
@@ -1,6 +1,6 @@
 {
   "id": "demo-project",
-  "repoPath": "/path/to/your/project",
+  "repoPath": "",
   "rootNodeId": "root",
   "nodes": {
     "root": {