diff --git a/UefiPayloadPkg/Library/CbParseLib/CbParseLib.c b/UefiPayloadPkg/Library/CbParseLib/CbParseLib.c
index 9e149532a7..03b6431610 100644
--- a/UefiPayloadPkg/Library/CbParseLib/CbParseLib.c
+++ b/UefiPayloadPkg/Library/CbParseLib/CbParseLib.c
@@ -400,15 +400,6 @@ ParseMemoryInfo (
     MemoryMap.Size = cb_unpack64 (Range->size);
     MemoryMap.Type = (UINT8)Range->type;
     MemoryMap.Flag = 0;
-    DEBUG ((
-      DEBUG_INFO,
-      "%d. %016lx - %016lx [%02x]\n",
-      Index,
-      MemoryMap.Base,
-      MemoryMap.Base + MemoryMap.Size - 1,
-      MemoryMap.Type
-      ));
-
     MemInfoCallback (&MemoryMap, Params);
   }
 
diff --git a/UefiPayloadPkg/UefiPayloadEntry/UefiPayloadEntry.c b/UefiPayloadPkg/UefiPayloadEntry/UefiPayloadEntry.c
index 939873d762..2ecea0ce84 100644
--- a/UefiPayloadPkg/UefiPayloadEntry/UefiPayloadEntry.c
+++ b/UefiPayloadPkg/UefiPayloadEntry/UefiPayloadEntry.c
@@ -167,6 +167,108 @@ FindToludCallback (
   return EFI_SUCCESS;
 }
 
+/**
+   Callback function to find free and usable DRAM for HOB
+   The memory region returned will have at least PcdSystemMemoryUefiRegionSize bytes
+   and will be aligned to 1 MiB.
+
+   The caller must initialize HobMemBase to zero.
+
+   @param MemoryMapEntry         Memory map entry info got from bootloader.
+   @param Params                 Pointer to HobMemBase
+
+  @retval EFI_SUCCESS            Continue walking the memory map
+  @retval EFI_ALREADY_STARTED    HobMemBase is not zero
+
+**/
+EFI_STATUS
+FindFreeMemForHobCallback (
+  IN MEMORY_MAP_ENTRY  *MemoryMapEntry,
+  IN VOID              *Params
+  )
+{
+  EFI_STATUS        Status;
+  MEMORY_MAP_ENTRY  MemoryMapEntrySplit;
+  UINTN             *HobMemBase = (UINTN *)Params;
+
+  //
+  // Found new base, nothing to do
+  //
+  if (*HobMemBase != 0) {
+    return EFI_ALREADY_STARTED;
+  }
+
+  //
+  // Skip memory types not RAM
+  //
+  if (MemoryMapEntry->Type != E820_RAM) {
+    return EFI_SUCCESS;
+  }
+
+  //
+  // Align on 1 MiB
+  //
+  if (ALIGN_VALUE (MemoryMapEntry->Base, SIZE_1MB) > MemoryMapEntry->Base) {
+    //
+    // Skip too small
+    //
+    if (ALIGN_VALUE (MemoryMapEntry->Base, SIZE_1MB) >= (MemoryMapEntry->Base + MemoryMapEntry->Size)) {
+      return EFI_SUCCESS;
+    }
+
+    MemoryMapEntry->Size -= ALIGN_VALUE (MemoryMapEntry->Base, SIZE_1MB) - MemoryMapEntry->Base;
+    MemoryMapEntry->Base  = ALIGN_VALUE (MemoryMapEntry->Base, SIZE_1MB);
+  }
+
+  //
+  // Skip resources above 4GiB on x86_32
+  //
+  if ((sizeof (UINTN) == 4) && (MemoryMapEntry->Base >= 0x100000000ULL)) {
+    return EFI_SUCCESS;
+  }
+
+  if ((sizeof (UINTN) == 4) && ((MemoryMapEntry->Base + MemoryMapEntry->Size) > 0x100000000ULL)) {
+    MemoryMapEntry->Size = 0x100000000ULL - MemoryMapEntry->Base;
+  }
+
+  //
+  // Skip too small
+  //
+  if (MemoryMapEntry->Size < FixedPcdGet32 (PcdSystemMemoryUefiRegionSize)) {
+    return EFI_SUCCESS;
+  }
+
+  //
+  // Overlaps UefiPayload, split into smaller chunks
+  //
+  if ((MemoryMapEntry->Base <= PcdGet32 (PcdPayloadFdMemBase)) &&
+      ((MemoryMapEntry->Base + MemoryMapEntry->Size) >= PcdGet32 (PcdPayloadFdMemBase)))
+  {
+    MemoryMapEntrySplit.Type = E820_RAM;
+    MemoryMapEntrySplit.Base = MemoryMapEntry->Base;
+    MemoryMapEntrySplit.Size = PcdGet32 (PcdPayloadFdMemBase) - MemoryMapEntrySplit.Base;
+    Status                   = FindFreeMemForHobCallback (&MemoryMapEntrySplit, Params);
+    if (EFI_ERROR (Status)) {
+      return Status;
+    }
+
+    if ((MemoryMapEntry->Base + MemoryMapEntry->Size) > (PcdGet32 (PcdPayloadFdMemBase) + PcdGet32 (PcdPayloadFdMemSize))) {
+      MemoryMapEntrySplit.Base = PcdGet32 (PcdPayloadFdMemBase) + PcdGet32 (PcdPayloadFdMemSize);
+      MemoryMapEntrySplit.Size = (MemoryMapEntry->Base + MemoryMapEntry->Size) - MemoryMapEntrySplit.Base;
+      Status                   = FindFreeMemForHobCallback (&MemoryMapEntrySplit, Params);
+      if (EFI_ERROR (Status)) {
+        return Status;
+      }
+    }
+
+    return EFI_SUCCESS;
+  }
+
+  *HobMemBase = MemoryMapEntry->Base;
+
+  return EFI_ALREADY_STARTED;
+}
+
 /**
    Callback function to build resource descriptor HOB
 
@@ -404,8 +506,19 @@ _ModuleEntryPoint (
 
   // HOB region is used for HOB and memory allocation for this module
   MemBase    = PcdGet32 (PcdPayloadFdMemBase);
-  HobMemBase = ALIGN_VALUE (MemBase + PcdGet32 (PcdPayloadFdMemSize), SIZE_1MB);
-  HobMemTop  = HobMemBase + FixedPcdGet32 (PcdSystemMemoryUefiRegionSize);
+  HobMemBase = 0;
+
+  //
+  // Find a good place for HOB and memory allocation
+  //
+  ParseMemoryInfo (FindFreeMemForHobCallback, &HobMemBase);
+
+  ASSERT (HobMemBase != 0);
+  if (HobMemBase == 0) {
+    HobMemBase = ALIGN_VALUE (MemBase + PcdGet32 (PcdPayloadFdMemSize), SIZE_1MB);
+  }
+
+  HobMemTop = HobMemBase + FixedPcdGet32 (PcdSystemMemoryUefiRegionSize);
 
   HobConstructor ((VOID *)MemBase, (VOID *)HobMemTop, (VOID *)HobMemBase, (VOID *)HobMemTop);
 
@@ -435,6 +548,8 @@ _ModuleEntryPoint (
   // The library constructors might depend on serial port, so call it after serial port hob
   ProcessLibraryConstructorList ();
   DEBUG ((DEBUG_INFO, "sizeof(UINTN) = 0x%x\n", sizeof (UINTN)));
+  DEBUG ((DEBUG_INFO, "MemBase       = 0x%llx\n", (UINT64)MemBase));
+  DEBUG ((DEBUG_INFO, "HobMemBase    = 0x%llx\n", (UINT64)HobMemBase));
 
   // Build HOB based on information from Bootloader
   Status = BuildHobFromBl ();