diff --git a/src/utils.ts b/src/utils.ts
index bdbbdf4..d0471b5 100644
--- a/src/utils.ts
+++ b/src/utils.ts
@@ -249,4 +249,49 @@ export function addDevEnvVariables() {
 	} catch (error) {
 		// Ignore errors if the .env file doesn't exist
 	}
+
+	// Validate the loaded environment variables
+	validateDevEnvVariables();
+}
+
+/**
+ * Validate and sanitize the DEV_USER_EXTENSIONS_PATH environment variable.
+ * Removes invalid paths from the environment with logged errors.
+ */
+function validateDevEnvVariables() {
+	// Validate DEV_USER_EXTENSIONS_PATH if it was loaded
+	if (process.env.DEV_USER_EXTENSIONS_PATH) {
+		let devPath = process.env.DEV_USER_EXTENSIONS_PATH;
+
+		// Trim whitespace and resolve the path to an absolute path
+		devPath = path.resolve(devPath.trim());
+
+		// Check if the path exists and is a directory
+		try {
+			const stats = fs.statSync(devPath);
+			if (!stats.isDirectory()) {
+				logger.error(`DEV_USER_EXTENSIONS_PATH is not a directory: ${devPath}. Removing from environment.`);
+				delete process.env.DEV_USER_EXTENSIONS_PATH;
+			} else {
+				// Update the environment variable with the sanitized (trimmed and resolved) path
+				process.env.DEV_USER_EXTENSIONS_PATH = devPath;
+			}
+		} catch (error) {
+			const nodeError = error as NodeJS.ErrnoException;
+			const errorCode = nodeError.code || "UNKNOWN";
+			
+			// Provide specific error messages based on the error code
+			let errorMessage: string;
+			if (errorCode === "ENOENT") {
+				errorMessage = `DEV_USER_EXTENSIONS_PATH does not exist: ${devPath}. Removing from environment.`;
+			} else if (errorCode === "EACCES") {
+				errorMessage = `Permission denied accessing DEV_USER_EXTENSIONS_PATH: ${devPath}. Removing from environment.`;
+			} else {
+				errorMessage = `Error accessing DEV_USER_EXTENSIONS_PATH: ${devPath} (${errorCode}). Removing from environment.`;
+			}
+			
+			logger.error(errorMessage, error as Error);
+			delete process.env.DEV_USER_EXTENSIONS_PATH;
+		}
+	}
 }