diff --git a/buildman/manager/ephemeral.py b/buildman/manager/ephemeral.py
index 902da86f0..9a17b38fe 100644
--- a/buildman/manager/ephemeral.py
+++ b/buildman/manager/ephemeral.py
@@ -15,6 +15,7 @@ from buildman.manager.executor import PopenExecutor, EC2Executor
 from buildman.component.buildcomponent import BuildComponent
 from buildman.jobutil.buildjob import BuildJob
 from buildman.asyncutil import AsyncWrapper
+from buildman.server import BuildJobResult
 from util.morecollections import AttrDict
 
 
@@ -91,6 +92,7 @@ class EphemeralBuilderManager(BaseManager):
       logger.debug('Scheduling watch of key: %s%s', etcd_key, '/*' if recursive else '')
       self._watch_tasks[watch_task_key] = async(watch_future)
 
+  @coroutine
   def _handle_builder_expiration(self, etcd_result):
     if etcd_result is None:
       return
@@ -101,8 +103,23 @@ class EphemeralBuilderManager(BaseManager):
       job_metadata = json.loads(etcd_result._prev_node.value)
 
       if 'builder_id' in job_metadata:
-        logger.info('Terminating expired build node.')
-        async(self._executor.stop_builder(job_metadata['builder_id']))
+        builder_id = job_metadata['builder_id']
+
+        try:
+          lock_key = self._etcd_lock_key(builder_id)
+          yield From(self._etcd_client.write(lock_key, '', prevExist=False, ttl=self.setup_time()))
+        except (KeyError, etcd.EtcdKeyError):
+          logger.debug('Somebody else is cleaning up the build node: %s', builder_id)
+          return
+
+        if not job_metadata.get('had_heartbeat', True):
+          logger.warning('Build node failed to successfully boot: %s', builder_id)
+          build_job = BuildJob(AttrDict(job_metadata['job_queue_item']))
+          self.job_complete_callback(build_job, BuildJobResult.INCOMPLETE)
+
+        logger.info('Terminating expired build node: %s', builder_id)
+        yield From(self._executor.stop_builder(builder_id))
+
 
   def _handle_realm_change(self, etcd_result):
     if etcd_result is None:
@@ -182,6 +199,8 @@ class EphemeralBuilderManager(BaseManager):
     self._etcd_realm_prefix = self._manager_config.get('ETCD_REALM_PREFIX', 'realm/')
     self._watch_etcd(self._etcd_realm_prefix, self._handle_realm_change)
 
+    self._etcd_lock_prefix = self._manager_config.get('ETCD_LOCK_PREFIX', 'locks/')
+
     # Load components for all realms currently known to the cluster
     async(self._register_existing_realms())
 
@@ -241,6 +260,8 @@ class EphemeralBuilderManager(BaseManager):
         'expiration': calendar.timegm(expiration.timetuple()),
         'max_expiration': calendar.timegm(max_expiration.timetuple()),
         'nonce': nonce,
+        'had_heartbeat': False,
+        'job_queue_item': build_job.job_item,
     }
     lock_payload = json.dumps(payload)
 
@@ -342,7 +363,9 @@ class EphemeralBuilderManager(BaseManager):
     payload = {
         'expiration': calendar.timegm(new_expiration.timetuple()),
         'builder_id': build_job_metadata['builder_id'],
+        'job_queue_item': build_job.job_item,
         'max_expiration': build_job_metadata['max_expiration'],
+        'had_heartbeat': True,
     }
 
     yield From(self._etcd_client.write(job_key, json.dumps(payload), ttl=ttl))
@@ -354,6 +377,11 @@ class EphemeralBuilderManager(BaseManager):
     """
     return os.path.join(self._etcd_builder_prefix, build_job.job_details['build_uuid'])
 
+  def _etcd_lock_key(self, unique_lock_id):
+    """ Create a key which is used to create a temporary lock in etcd.
+    """
+    return os.path.join(self._etcd_lock_prefix, unique_lock_id)
+
   def _etcd_realm_key(self, realm):
     """ Create a key which is used to track an incoming connection on a realm.
     """
diff --git a/test/test_buildman.py b/test/test_buildman.py
index 543c5fc5d..9e7a0f825 100644
--- a/test/test_buildman.py
+++ b/test/test_buildman.py
@@ -5,7 +5,7 @@ import time
 import json
 
 from trollius import coroutine, get_event_loop, From, Future, sleep, Return
-from mock import Mock
+from mock import Mock, ANY
 from threading import Event
 from urllib3.exceptions import ReadTimeoutError
 
@@ -191,13 +191,36 @@ class TestEphemeral(unittest.TestCase):
     expired_result._prev_node = Mock(spec=etcd.EtcdResult)
     expired_result._prev_node.value = json.dumps({'builder_id': '1234'})
 
-    self.manager._handle_builder_expiration(expired_result)
-
-    yield From(sleep(.01))
+    yield From(self.manager._handle_builder_expiration(expired_result))
 
     self.test_executor.stop_builder.assert_called_once_with('1234')
     self.assertEqual(self.test_executor.stop_builder.call_count, 1)
 
+  @async_test
+  def test_builder_never_starts(self):
+    test_component = yield From(self._setup_job_for_managers())
+
+    # Test that we are watching before anything else happens
+    self.etcd_client_mock.watch.assert_any_call('building/', recursive=True, timeout=0)
+
+    # Send a signal to the callback that a worker has expired
+    expired_result = Mock(spec=etcd.EtcdResult)
+    expired_result.action = EtcdAction.EXPIRE
+    expired_result.key = self.mock_job_key
+    expired_result._prev_node = Mock(spec=etcd.EtcdResult)
+    expired_result._prev_node.value = json.dumps({
+      'builder_id': '1234',
+      'had_heartbeat': False,
+      'job_queue_item': self.mock_job.job_item,
+    })
+
+    yield From(self.manager._handle_builder_expiration(expired_result))
+
+    self.test_executor.stop_builder.assert_called_once_with('1234')
+    self.assertEqual(self.test_executor.stop_builder.call_count, 1)
+
+    self.job_complete_callback.assert_called_once_with(ANY, BuildJobResult.INCOMPLETE)
+
   @async_test
   def test_change_worker(self):
     # Send a signal to the callback that a worker key has been changed
@@ -233,3 +256,4 @@ class TestEphemeral(unittest.TestCase):
 
 if __name__ == '__main__':
   unittest.main()
+