diff --git a/packages/sanity/src/_internal/cli/actions/deploy/__tests__/deployAction.test.ts b/packages/sanity/src/_internal/cli/actions/deploy/__tests__/deployAction.test.ts
index fd0007831dc..493ad21f0cf 100644
--- a/packages/sanity/src/_internal/cli/actions/deploy/__tests__/deployAction.test.ts
+++ b/packages/sanity/src/_internal/cli/actions/deploy/__tests__/deployAction.test.ts
@@ -16,7 +16,7 @@ jest.mock('../helpers')
 jest.mock('../../build/buildAction')
 
 type Helpers = typeof _helpers
-const helpers = _helpers as {[K in keyof Helpers]: jest.Mock<Helpers[K]>}
+const helpers = _helpers as unknown as {[K in keyof Helpers]: jest.Mock<Helpers[K]>}
 const buildSanityStudioMock = buildSanityStudio as jest.Mock<typeof buildSanityStudio>
 const tarPackMock = tar.pack as jest.Mock
 const zlibCreateGzipMock = zlib.createGzip as jest.Mock
@@ -118,6 +118,60 @@ describe('deployStudioAction', () => {
     expect(mockSpinner.succeed).toHaveBeenCalled()
   })
 
+  it('builds and deploys the studio if the directory is empty and hostname in config', async () => {
+    const mockSpinner = mockContext.output.spinner('')
+    mockContext.cliConfig = {studioHost: 'app-host'}
+
+    // Mock utility functions
+    helpers.dirIsEmptyOrNonExistent.mockResolvedValueOnce(true)
+    helpers.getInstalledSanityVersion.mockResolvedValueOnce('vX')
+    helpers.getOrCreateUserApplicationFromConfig.mockResolvedValueOnce(mockApplication)
+    helpers.createDeployment.mockResolvedValueOnce({location: 'https://app-host.sanity.studio'})
+    buildSanityStudioMock.mockResolvedValueOnce({didCompile: true})
+    tarPackMock.mockReturnValueOnce({pipe: jest.fn().mockReturnValue('tarball')})
+    zlibCreateGzipMock.mockReturnValue('gzipped')
+
+    await deployStudioAction(
+      {
+        argsWithoutOptions: ['customSourceDir'],
+        extOptions: {},
+      } as CliCommandArguments<DeployStudioActionFlags>,
+      mockContext,
+    )
+
+    // Check that buildSanityStudio was called
+    expect(buildSanityStudioMock).toHaveBeenCalledWith(
+      expect.objectContaining({
+        extOptions: {build: true},
+        argsWithoutOptions: ['customSourceDir'],
+      }),
+      mockContext,
+      {basePath: '/'},
+    )
+    expect(helpers.dirIsEmptyOrNonExistent).toHaveBeenCalledWith(
+      expect.stringContaining('customSourceDir'),
+    )
+    expect(helpers.getOrCreateUserApplicationFromConfig).toHaveBeenCalledWith(
+      expect.objectContaining({
+        client: expect.anything(),
+        context: expect.anything(),
+        appHost: 'app-host',
+      }),
+    )
+    expect(helpers.createDeployment).toHaveBeenCalledWith({
+      client: expect.anything(),
+      applicationId: 'app-id',
+      version: 'vX',
+      isAutoUpdating: false,
+      tarball: 'tarball',
+    })
+
+    expect(mockContext.output.print).toHaveBeenCalledWith(
+      '\nSuccess! Studio deployed to https://app-host.sanity.studio',
+    )
+    expect(mockSpinner.succeed).toHaveBeenCalled()
+  })
+
   it('prompts the user if the directory is not empty', async () => {
     const mockSpinner = mockContext.output.spinner('')
 
@@ -205,8 +259,6 @@ describe('deployStudioAction', () => {
   })
 
   it('returns an error if API responds with 402', async () => {
-    const mockSpinner = mockContext.output.spinner('')
-
     // Mock utility functions
     helpers.dirIsEmptyOrNonExistent.mockResolvedValueOnce(true)
     helpers.getInstalledSanityVersion.mockResolvedValueOnce('vX')
diff --git a/packages/sanity/src/_internal/cli/actions/deploy/__tests__/helpers.test.ts b/packages/sanity/src/_internal/cli/actions/deploy/__tests__/helpers.test.ts
index 8ed47e3645b..c634816e96a 100644
--- a/packages/sanity/src/_internal/cli/actions/deploy/__tests__/helpers.test.ts
+++ b/packages/sanity/src/_internal/cli/actions/deploy/__tests__/helpers.test.ts
@@ -1,3 +1,4 @@
+/* eslint-disable @typescript-eslint/no-explicit-any */
 import {type Stats} from 'node:fs'
 import fs from 'node:fs/promises'
 import {Readable} from 'node:stream'
@@ -13,6 +14,7 @@ import {
   deleteUserApplication,
   dirIsEmptyOrNonExistent,
   getOrCreateUserApplication,
+  getOrCreateUserApplicationFromConfig,
 } from '../helpers'
 
 jest.mock('node:fs/promises')
@@ -36,8 +38,12 @@ const mockOutput = {
   warn: jest.fn(),
   spinner: jest.fn(),
 } as CliCommandContext['output']
-const mockPrompt = {single: jest.fn()} as unknown as CliCommandContext['prompt']
+const mockPrompt = {
+  single: jest.fn(),
+  Separator: jest.fn(),
+} as unknown as CliCommandContext['prompt']
 const mockSpinner = {
+  start: jest.fn(),
   succeed: jest.fn(),
 } as unknown as ReturnType<CliCommandContext['output']['spinner']>
 
@@ -68,6 +74,71 @@ describe('getOrCreateUserApplication', () => {
     expect(result).toEqual({id: 'default-app'})
   })
 
+  it('creates a user application by prompting the user for a name', async () => {
+    const newApp = {
+      id: 'default-app',
+      appHost: 'default.sanity.studio',
+      urlType: 'internal',
+    }
+    mockClientRequest.mockResolvedValueOnce(null) // Simulate no existing app
+    mockClientRequest.mockResolvedValueOnce([]) // Simulate no list of deployments
+    ;(mockPrompt.single as jest.Mock<any>).mockImplementationOnce(
+      async ({validate}: Parameters<CliCommandContext['prompt']['single']>[0]) => {
+        // Simulate user input and validation
+        const appHost = 'default.sanity.studio'
+        await validate!(appHost)
+        return appHost
+      },
+    )
+    mockClientRequest.mockResolvedValueOnce(newApp)
+
+    const result = await getOrCreateUserApplication({
+      client: mockClient,
+      context,
+      spinner: mockSpinner,
+    })
+
+    expect(mockPrompt.single).toHaveBeenCalledWith(
+      expect.objectContaining({
+        message: 'Studio hostname (<value>.sanity.studio):',
+      }),
+    )
+    expect(result).toEqual(newApp)
+  })
+
+  it('allows user to select a user application from a list', async () => {
+    const existingApp = {
+      id: 'default-app',
+      appHost: 'default.sanity.studio',
+      urlType: 'internal',
+    }
+    mockClientRequest.mockResolvedValueOnce(null) // Simulate no existing app
+    mockClientRequest.mockResolvedValueOnce([existingApp]) // Simulate no list of deployments
+    ;(mockPrompt.single as jest.Mock<any>).mockImplementationOnce(async ({choices}: any) => {
+      // Simulate user input
+      return Promise.resolve(choices[2].value)
+    })
+
+    const result = await getOrCreateUserApplication({
+      client: mockClient,
+      context,
+      spinner: mockSpinner,
+    })
+
+    expect(mockPrompt.single).toHaveBeenCalledWith(
+      expect.objectContaining({
+        choices: expect.arrayContaining([expect.objectContaining({name: 'default.sanity.studio'})]),
+      }),
+    )
+    expect(result).toEqual(existingApp)
+  })
+})
+
+describe('getOrCreateUserApplicationFromConfig', () => {
+  beforeEach(() => {
+    jest.clearAllMocks()
+  })
+
   it('gets an existing user application if a `studioHost` is provided in the config', async () => {
     mockClientRequest.mockResolvedValueOnce({
       id: 'existing-app',
@@ -75,16 +146,16 @@ describe('getOrCreateUserApplication', () => {
       urlType: 'internal',
     })
 
-    const result = await getOrCreateUserApplication({
+    const result = await getOrCreateUserApplicationFromConfig({
       client: mockClient,
       spinner: mockSpinner,
-      cliConfig: {studioHost: 'example.sanity.studio'},
       context,
+      appHost: 'example',
     })
 
     expect(mockClientRequest).toHaveBeenCalledWith({
       uri: '/user-applications',
-      query: {appHost: 'example.sanity.studio'},
+      query: {appHost: 'example'},
     })
     expect(result).toEqual({
       id: 'existing-app',
@@ -102,11 +173,11 @@ describe('getOrCreateUserApplication', () => {
     mockClientRequest.mockResolvedValueOnce(null) // Simulate no existing app
     mockClientRequest.mockResolvedValueOnce(newApp)
 
-    const result = await getOrCreateUserApplication({
+    const result = await getOrCreateUserApplicationFromConfig({
       client: mockClient,
       spinner: mockSpinner,
-      cliConfig: {studioHost: 'newhost'},
       context,
+      appHost: 'newhost',
     })
 
     expect(mockClientRequest).toHaveBeenCalledTimes(2)
@@ -121,37 +192,6 @@ describe('getOrCreateUserApplication', () => {
     })
     expect(result).toEqual(newApp)
   })
-
-  it('creates a user application by prompting the user for a name', async () => {
-    const newApp = {
-      id: 'default-app',
-      appHost: 'default.sanity.studio',
-      urlType: 'internal',
-    }
-    mockClientRequest.mockResolvedValueOnce(null) // Simulate no existing app
-    ;(mockPrompt.single as jest.Mock<any>).mockImplementationOnce(
-      async ({validate}: Parameters<CliCommandContext['prompt']['single']>[0]) => {
-        // Simulate user input and validation
-        const appHost = 'default.sanity.studio'
-        await validate!(appHost)
-        return appHost
-      },
-    )
-    mockClientRequest.mockResolvedValueOnce(newApp)
-
-    const result = await getOrCreateUserApplication({
-      client: mockClient,
-      context,
-      spinner: mockSpinner,
-    })
-
-    expect(mockPrompt.single).toHaveBeenCalledWith(
-      expect.objectContaining({
-        message: 'Studio hostname (<value>.sanity.studio):',
-      }),
-    )
-    expect(result).toEqual(newApp)
-  })
 })
 
 describe('createDeployment', () => {