diff --git a/src/signs_cmd.cpp b/src/signs_cmd.cpp
index 69fde2559f..e094e9e0ff 100644
--- a/src/signs_cmd.cpp
+++ b/src/signs_cmd.cpp
@@ -58,6 +58,7 @@ CommandCost CmdPlaceSign(TileIndex tile, DoCommandFlag flags, uint32 p1, uint32
 		if (!StrEmpty(text)) {
 			si->name = stredup(text);
 		}
+		si->UpdateVirtCoord();
 		_viewport_sign_kdtree.Insert(ViewportSignKdtreeItem::MakeSign(si->index));
 		InvalidateWindowData(WC_SIGN_LIST, 0, 0);
 		_new_sign_id = si->index;