diff --git a/modules/angular2/src/core/compiler/element_injector.ts b/modules/angular2/src/core/compiler/element_injector.ts
index b3e6003440..9955420eb7 100644
--- a/modules/angular2/src/core/compiler/element_injector.ts
+++ b/modules/angular2/src/core/compiler/element_injector.ts
@@ -189,10 +189,28 @@ export class TreeNode<T extends TreeNode<any>> {
   }
 }
 
-export class DirectiveDependency extends Dependency {
+export class DependencyWithVisibility extends Dependency {
   constructor(key: Key, asPromise: boolean, lazy: boolean, optional: boolean, properties: List<any>,
-              public visibility: Visibility, public attributeName: string, public queryDirective) {
+              public visibility: Visibility) {
     super(key, asPromise, lazy, optional, properties);
+  }
+
+  static createFrom(d: Dependency): Dependency {
+    return new DependencyWithVisibility(d.key, d.asPromise, d.lazy, d.optional, d.properties,
+                                        DependencyWithVisibility._visibility(d.properties));
+  }
+
+  static _visibility(properties): Visibility {
+    if (properties.length == 0) return self;
+    var p = ListWrapper.find(properties, p => p instanceof Visibility);
+    return isPresent(p) ? p : self;
+  }
+}
+
+export class DirectiveDependency extends DependencyWithVisibility {
+  constructor(key: Key, asPromise: boolean, lazy: boolean, optional: boolean, properties: List<any>,
+              visibility: Visibility, public attributeName: string, public queryDirective) {
+    super(key, asPromise, lazy, optional, properties, visibility);
     this._verify();
   }
 
@@ -207,17 +225,11 @@ export class DirectiveDependency extends Dependency {
 
   static createFrom(d: Dependency): Dependency {
     return new DirectiveDependency(d.key, d.asPromise, d.lazy, d.optional, d.properties,
-                                   DirectiveDependency._visibility(d.properties),
+                                   DependencyWithVisibility._visibility(d.properties),
                                    DirectiveDependency._attributeName(d.properties),
                                    DirectiveDependency._query(d.properties));
   }
 
-  static _visibility(properties): Visibility {
-    if (properties.length == 0) return self;
-    var p = ListWrapper.find(properties, p => p instanceof Visibility);
-    return isPresent(p) ? p : self;
-  }
-
   static _attributeName(properties): string {
     var p = ListWrapper.find(properties, (p) => p instanceof Attribute);
     return isPresent(p) ? p.attributeName : null;
@@ -476,16 +488,24 @@ export class ProtoElementInjector {
   private static _createHostInjectorBindingData(bindings: List<ResolvedBinding>,
                                                 bd: List<BindingData>) {
     ListWrapper.forEach(bindings, b => {
-      ListWrapper.forEach(b.resolvedHostInjectables,
-                          b => { ListWrapper.push(bd, new BindingData(b, LIGHT_DOM)); });
+      ListWrapper.forEach(b.resolvedHostInjectables, b => {
+        ListWrapper.push(bd, new BindingData(ProtoElementInjector._createBinding(b), LIGHT_DOM));
+      });
     });
   }
 
   private static _createViewInjectorBindingData(bindings: List<ResolvedBinding>,
                                                 bd: List<BindingData>) {
     var db = <DirectiveBinding>bindings[0];
-    ListWrapper.forEach(db.resolvedViewInjectables,
-                        b => ListWrapper.push(bd, new BindingData(b, SHADOW_DOM)));
+    ListWrapper.forEach(
+        db.resolvedViewInjectables,
+        b => ListWrapper.push(bd,
+                              new BindingData(ProtoElementInjector._createBinding(b), SHADOW_DOM)));
+  }
+
+  private static _createBinding(b: ResolvedBinding) {
+    var deps = ListWrapper.map(b.dependencies, d => DependencyWithVisibility.createFrom(d));
+    return new ResolvedBinding(b.key, b.factory, deps, b.providedAsPromise);
   }
 
   constructor(parent: ProtoElementInjector, index: int, bd: List<BindingData>,
@@ -909,9 +929,9 @@ export class ElementInjector extends TreeNode<ElementInjector> {
     return obj;
   }
 
-  private _getByDependency(dep: Dependency, requestor: Key) {
+  private _getByDependency(dep: DependencyWithVisibility, requestor: Key) {
     if (!(dep instanceof DirectiveDependency)) {
-      return this._getByKey(dep.key, self, dep.optional, requestor);
+      return this._getByKey(dep.key, dep.visibility, dep.optional, requestor);
     }
 
     var dirDep = <DirectiveDependency>dep;
diff --git a/modules/angular2/src/di/binding.ts b/modules/angular2/src/di/binding.ts
index a3cbecce82..c9d6c7ff92 100644
--- a/modules/angular2/src/di/binding.ts
+++ b/modules/angular2/src/di/binding.ts
@@ -492,5 +492,5 @@ function _extractToken(typeOrFunc, annotations) {
 }
 
 function _createDependency(token, asPromise, lazy, optional, depProps): Dependency {
-  return new Dependency(Key.get(token), asPromise, lazy, optional, depProps);
+  return new Dependency(Key.get(resolveForwardRef(token)), asPromise, lazy, optional, depProps);
 }
diff --git a/modules/angular2/test/core/compiler/element_injector_spec.js b/modules/angular2/test/core/compiler/element_injector_spec.js
index f1d7c0189a..9e990eb5c3 100644
--- a/modules/angular2/test/core/compiler/element_injector_spec.js
+++ b/modules/angular2/test/core/compiler/element_injector_spec.js
@@ -6,7 +6,7 @@ import {ProtoElementInjector, ElementInjector, PreBuiltObjects, DirectiveBinding
 import {Parent, Ancestor, Unbounded} from 'angular2/src/core/annotations_impl/visibility';
 import {Attribute, Query} from 'angular2/src/core/annotations_impl/di';
 import {Component, Directive, onDestroy} from 'angular2/src/core/annotations_impl/annotations';
-import {bind, Injector, Binding} from 'angular2/di';
+import {bind, Injector, Binding, resolveBindings} from 'angular2/di';
 import {Optional, Inject} from 'angular2/src/di/annotations_impl';
 import {AppProtoView, AppView} from 'angular2/src/core/compiler/view';
 import {ViewContainerRef} from 'angular2/src/core/compiler/view_container_ref';
@@ -528,6 +528,22 @@ export function main() {
         expect(inj.get('injectable2')).toEqual('injectable1-injectable2');
       });
 
+      it("should instantiate hostInjector injectables that have dependencies with set visibility", function () {
+        var childInj= parentChildInjectors([
+          DirectiveBinding.createFromType(SimpleDirective,
+              new DummyDirective({hostInjector: [
+                bind('injectable1').toValue('injectable1')
+              ]}))
+        ], [
+          DirectiveBinding.createFromType(SimpleDirective,
+              new DummyDirective({hostInjector: [
+                bind('injectable1').toValue('new-injectable1'),
+                bind('injectable2').toFactory((val) => `${val}-injectable2`,  [[new Inject('injectable1'), new Parent()]])
+              ]}))
+        ]);
+        expect(childInj.get('injectable2')).toEqual('injectable1-injectable2');
+      });
+
       it("should instantiate components that depends on viewInjector dependencies", function () {
         var inj = injector([
           DirectiveBinding.createFromType(NeedsService,