diff --git a/lib/galaxy/webapps/galaxy/controllers/cloudlaunch.py b/lib/galaxy/webapps/galaxy/controllers/cloudlaunch.py
index dffe7b0d0f9..de12b81e57c 100644
--- a/lib/galaxy/webapps/galaxy/controllers/cloudlaunch.py
+++ b/lib/galaxy/webapps/galaxy/controllers/cloudlaunch.py
@@ -59,14 +59,34 @@ class CloudController(BaseUIController):
             if pd:
                 # This is a cloudman bucket.
                 # We need to get persistent data, and the cluster name.
+                # DBTODO: Add pyyaml egg, and rewrite this.
+                # This will also allow for much more sophisticated rendering of existing clusters
+                # Currently, this zone detection is a hack.
+                pd_contents = pd.get_contents_as_string()
+                zone = ''
+                try:
+                    for line in pd_contents.split('\n'):
+                        if 'vol_id' in line:
+                            vol_id = line.split(':')[1].strip()
+                            v = ec2_conn.get_all_volumes(volume_ids = [vol_id])
+                            if v:
+                                zone = v[0].zone
+                            else:
+                                zone = ''
+                except:
+                    #If anything goes wrong with zone detection, use the default selection.
+                    zone = ''
                 for key in bucket.list():
                     if key.name.endswith('.clusterName'):
-                        clusters.append({'name': key.name.split('.clusterName')[0], 'persistent_data': pd.get_contents_as_string()})
+                        clusters.append({'name': key.name.split('.clusterName')[0],
+                                         'persistent_data': pd_contents,
+                                         'zone':zone})
         account_info['clusters'] = clusters
+        account_info['zones'] = [z.name for z in ec2_conn.get_all_zones()]
         return to_json_string(account_info)
 
     @web.expose
-    def launch_instance(self, trans, cluster_name, password, key_id, secret, instance_type, share_string, keypair, **kwargs):
+    def launch_instance(self, trans, cluster_name, password, key_id, secret, instance_type, share_string, keypair, zone=None, **kwargs):
         ec2_error = None
         try:
             # Create security group & key pair used when starting an instance
@@ -90,7 +110,8 @@ class CloudController(BaseUIController):
             rs = run_instance(ec2_conn=ec2_conn,
                       user_provided_data=user_provided_data,
                       key_name=kp_name,
-                      security_groups=[sg_name])
+                      security_groups=[sg_name],
+                      placement=zone)
             if rs:
                 instance = rs.instances[0]
                 ct = 0
@@ -241,7 +262,7 @@ def create_key_pair(ec2_conn, key_name=DEFAULT_KEYPAIR):
 
 def run_instance(ec2_conn, user_provided_data, image_id=DEFAULT_AMI,
                  kernel_id=None, ramdisk_id=None, key_name=DEFAULT_KEYPAIR,
-                 security_groups=['CloudMan']):
+                 placement=None, security_groups=['CloudMan']):
     """ Start an instance. If instance start was OK, return the ResultSet object
         else return None.
     """
@@ -257,7 +278,8 @@ def run_instance(ec2_conn, user_provided_data, image_id=DEFAULT_AMI,
                                     security_groups=security_groups,
                                     user_data=ud,
                                     kernel_id=kernel_id,
-                                    ramdisk_id=ramdisk_id)
+                                    ramdisk_id=ramdisk_id,
+                                    placement=placement)
     except EC2ResponseError, e:
         log.error("Problem starting an instance: %s\n%s" % (e, e.body))
     if rs:
diff --git a/templates/cloud/index.mako b/templates/cloud/index.mako
index 23530c7a068..7a53abd921d 100644
--- a/templates/cloud/index.mako
+++ b/templates/cloud/index.mako
@@ -60,6 +60,8 @@
     <script type="text/javascript">
         var ACCOUNT_URL = "${h.url_for( controller='/cloudlaunch', action='get_account_info')}";
         var PKEY_DL_URL = "${h.url_for( controller='/cloudlaunch', action='get_pkey')}";
+        var cloudlaunch_clusters = [];
+
         $(document).ready(function(){
             $('#id_existing_instance').change(function(){
                 var ei_name = $(this).val();
@@ -82,6 +84,7 @@
                     $.getJSON(ACCOUNT_URL,
                                 {key_id: key_el.val(),secret:secret_el.val()},
                                 function(result){
+                                    cloudlaunch_clusters = result.clusters;
                                     var kplist = $("#id_keypair");
                                     var clusterlist = $("#id_existing_instance");
                                     kplist.find('option').remove();
@@ -112,48 +115,52 @@
             $('form').ajaxForm({
                     type: 'POST',
                     dataType: 'json',
-                    beforeSubmit: function(data){
+                    beforeSubmit: function(data, form){
                         if ($('#id_password').val() != $('#id_password_confirm').val()){
                             //Passwords don't match.
-                            $('#cloudlaunch_form').prepend('<div class="errormessage">Passwords do not match</div>');
+                            form.prepend('<div class="errormessage">Passwords do not match</div>');
                             return false;
                         }else{
+                            //Clear errors
                             $('.errormessage').remove()
                             //Hide the form, show pending box with spinner.
                             $('#launchFormContainer').hide('fast');
                             $('#responsePanel').show('fast');
                         }
+                        //Dig up zone info for selected cluster, set hidden input.
+                        //This is not necessary to present to the user though the interface may prove useful.
+                        var ei_val = _.find(data, function(f_obj){return f_obj.name === 'existing_instance'});
+                        if( ei_val.value !== "New Cluster"){
+                            var cluster = _.find(cloudlaunch_clusters, function(cluster){return cluster.name === ei_val.value});
+                            var zdata = _.find(data, function(f_obj){return f_obj.name === 'zone'});
+                            zdata.value = cluster.zone;
+                        }
                     },
                     success: function(data){
                         //Success Message, link to key download if required, link to server itself.
                         $('#launchPending').hide('fast');
-                        //Check for success/error.
-                        if (data.error){
-                            //Apologize profusely.
-                            $("launchPending").hide();
-                            $("#launchError").show();
-                        }else{
-                            //Set appropriate fields (dns, key, ami) and then display.
-                            if(data.kp_material_tag){
-                                var kp_download_link = $('<a/>').attr('href', PKEY_DL_URL + '?kp_material_tag=' + data.kp_material_tag)
-                                                                .attr('target','_blank')
-                                                                .text("Download your key now");
-                                $('#keypairInfo').append(kp_download_link);
-                                $('#keypairInfo').show();
-                            }
-                            $('.kp_name').text(data.kp_name);
-                            $('#instance_id').text(data.instance_id);
-                            $('#image_id').text(data.image_id);
-                            $('#instance_link').html($('<a/>')
-                                .attr('href', 'http://' + data.public_dns_name + '/cloud')
-                                .attr('target','_blank')
-                                .text(data.public_dns_name + '/cloud'));
-                            $('#instance_dns').text(data.public_dns_name);
-                            $('#launchSuccess').show('fast');
+                        //Set appropriate fields (dns, key, ami) and then display.
+                        if(data.kp_material_tag){
+                            var kp_download_link = $('<a/>').attr('href', PKEY_DL_URL + '?kp_material_tag=' + data.kp_material_tag)
+                                                            .attr('target','_blank')
+                                                            .text("Download your key now");
+                            $('#keypairInfo').append(kp_download_link);
+                            $('#keypairInfo').show();
                         }
+                        $('.kp_name').text(data.kp_name);
+                        $('#instance_id').text(data.instance_id);
+                        $('#image_id').text(data.image_id);
+                        $('#instance_link').html($('<a/>')
+                            .attr('href', 'http://' + data.public_dns_name + '/cloud')
+                            .attr('target','_blank')
+                            .text(data.public_dns_name + '/cloud'));
+                        $('#instance_dns').text(data.public_dns_name);
+                        $('#launchSuccess').show('fast');
                     },
-                    error: function(data){
-                        $('#cloudlaunch_form').prepend('<div class="errormessage">' + data.responseText + '</div>');
+                    error: function(jqXHR, textStatus, errorThrown){
+                       $('#launchFormContainer').prepend('<div class="errormessage">' + errorThrown + " : " + jqXHR.responseText + '</div>');
+                       $('#responsePanel').hide('fast');
+                       $('#launchFormContainer').show('fast');
                     }
             });
         });
@@ -196,6 +203,7 @@ Credentials section of the AWS Console</a>.  </div>
                                 <label for="id_existing_instance">Instances in your account</label>
                                 <select name="existing_instance" id="id_existing_instance">
                                 </select>
+                                <input id='id_zone' type='hidden' name='zone' value=''/>
                         </div>
                         <div id='cluster_name_wrapper' class="form-row">
                             <label for="id_cluster_name">Cluster Name</label>
@@ -253,7 +261,6 @@ Credentials section of the AWS Console</a>.  </div>
                 </div>
                 <div id="responsePanel" class="toolForm" style="display:none;">
                         <div id="launchPending">Launch Pending, please be patient.</div>
-                        <div id="launchError" style="display:none;">ERROR</div>
                         <div id="launchSuccess" style="display:none;">
                             <div id="keypairInfo" style="display:none;margin-bottom:20px;">
                                 <h3>Very Important Key Pair Information</h3>