diff --git a/eng/common/tools.ps1 b/eng/common/tools.ps1
index e28db6c7c8f..c2f3eb9ba45 100644
--- a/eng/common/tools.ps1
+++ b/eng/common/tools.ps1
@@ -875,6 +875,12 @@ Create-Directory $ToolsetDir
 Create-Directory $TempDir
 Create-Directory $LogDir
 
+# Direct MSBuild crash diagnostics (MSB4166 failure.txt files) to a known location
+# under artifacts/log so they are captured as build artifacts in CI.
+if (-not $env:MSBUILDDEBUGPATH) {
+  $env:MSBUILDDEBUGPATH = Join-Path $LogDir 'MsbuildDebugLogs'
+}
+
 Write-PipelineSetVariable -Name 'Artifacts' -Value $ArtifactsDir
 Write-PipelineSetVariable -Name 'Artifacts.Toolset' -Value $ToolsetDir
 Write-PipelineSetVariable -Name 'Artifacts.Log' -Value $LogDir
diff --git a/eng/common/tools.sh b/eng/common/tools.sh
index 1e37fd95b21..1e44df6294f 100755
--- a/eng/common/tools.sh
+++ b/eng/common/tools.sh
@@ -598,6 +598,12 @@ mkdir -p "$toolset_dir"
 mkdir -p "$temp_dir"
 mkdir -p "$log_dir"
 
+# Direct MSBuild crash diagnostics (MSB4166 failure.txt files) to a known location
+# under artifacts/log so they are captured as build artifacts in CI.
+if [[ -z "${MSBUILDDEBUGPATH:-}" ]]; then
+  export MSBUILDDEBUGPATH="$log_dir/MsbuildDebugLogs"
+fi
+
 Write-PipelineSetVariable -name "Artifacts" -value "$artifacts_dir"
 Write-PipelineSetVariable -name "Artifacts.Toolset" -value "$toolset_dir"
 Write-PipelineSetVariable -name "Artifacts.Log" -value "$log_dir"