diff --git a/.github/workflows/new-build-core-template.yml b/.github/workflows/new-build-core-template.yml
index fba6a68b8eec..fa7cfb7970f6 100644
--- a/.github/workflows/new-build-core-template.yml
+++ b/.github/workflows/new-build-core-template.yml
@@ -59,11 +59,13 @@ jobs:
             if [ $(jq length <<<"$tags") -eq 0 ]; then
               echo "No tag found on all pages."
               echo "BUILD_CONTRACTS=true" >> "$GITHUB_ENV"
+              mkdir -p contracts/l1-contracts/artifacts/
               exit 0
             fi
             filtered_tag=$(jq -r --arg commit_sha "$commit_sha" 'map(select(.commit.sha == $commit_sha)) | .[].name' <<<"$tags")
             if [[ ! -z "$filtered_tag" ]]; then
               echo "BUILD_CONTRACTS=false" >> "$GITHUB_ENV"
+              mkdir -p contracts/l1-contracts/out
               break
             fi
             ((page++))
@@ -76,6 +78,8 @@ jobs:
           tar -C ./contracts -zxf l1-contracts.tar.gz
           tar -C ./contracts -zxf l2-contracts.tar.gz
           tar -C ./contracts -zxf system-contracts.tar.gz
+          # TODO Remove mkdir once we use foundry inside contracts repo
+          mkdir -p contracts/l1-contracts/out
 
       - name: Install Apt dependencies
         shell: bash