diff --git a/crates/recent_projects/src/recent_projects.rs b/crates/recent_projects/src/recent_projects.rs
index 369cff1cc6..02a05f8929 100644
--- a/crates/recent_projects/src/recent_projects.rs
+++ b/crates/recent_projects/src/recent_projects.rs
@@ -17,7 +17,7 @@ use fs::Fs;
 #[cfg(target_os = "windows")]
 mod wsl_picker;
 
-use remote::RemoteConnectionOptions;
+use remote::{RemoteConnectionOptions, same_remote_connection_identity};
 pub use remote_connection::{RemoteConnectionModal, connect, connect_with_modal};
 pub use remote_connections::{navigate_to_positions, open_remote_project};
 
@@ -45,8 +45,8 @@ use ui::{
 };
 use util::{ResultExt, paths::PathExt};
 use workspace::{
-    HistoryManager, ModalView, MultiWorkspace, OpenMode, OpenOptions, OpenVisible, PathList,
-    RecentWorkspace, SerializedWorkspaceLocation, Workspace, WorkspaceDb, WorkspaceId,
+    HistoryManager, ModalView, MultiWorkspace, OpenMode, OpenOptions, OpenVisible, RecentWorkspace,
+    SerializedWorkspaceLocation, Workspace, WorkspaceDb, WorkspaceId,
     notifications::DetachAndPromptErr, with_active_or_new_workspace,
 };
 use zed_actions::{OpenDevContainer, OpenRecent, OpenRemote};
@@ -2433,14 +2433,24 @@ impl RecentProjectsDelegate {
             .any(|key| key.matches(&workspace.project_group_key()))
     }
 
-    fn is_open_folder(&self, paths: &PathList) -> bool {
+    fn is_open_folder(&self, workspace: &RecentWorkspace) -> bool {
         if self.open_folders.is_empty() {
             return false;
         }
 
-        for workspace_path in paths.paths() {
+        let workspace_host = match &workspace.location {
+            SerializedWorkspaceLocation::Local => None,
+            SerializedWorkspaceLocation::Remote(options) => Some(options),
+        };
+
+        for workspace_path in workspace.paths.paths() {
             for open_folder in &self.open_folders {
-                if workspace_path == &open_folder.path {
+                if workspace_path == &open_folder.path
+                    && same_remote_connection_identity(
+                        workspace_host,
+                        open_folder.connection_options.as_ref(),
+                    )
+                {
                     return true;
                 }
             }
@@ -2456,7 +2466,7 @@ impl RecentProjectsDelegate {
     ) -> bool {
         !self.is_current_workspace(workspace.workspace_id, cx)
             && !self.is_in_current_window_groups(workspace)
-            && !self.is_open_folder(&workspace.paths)
+            && !self.is_open_folder(workspace)
     }
 }
 
@@ -2467,7 +2477,7 @@ mod tests {
     use serde_json::json;
     use settings::SettingsStore;
     use util::path;
-    use workspace::{AppState, open_paths};
+    use workspace::{AppState, PathList, open_paths};
 
     use super::*;
 
@@ -2679,6 +2689,53 @@ mod tests {
         );
     }
 
+    #[gpui::test]
+    fn is_open_folder_distinguishes_local_and_remote(cx: &mut TestAppContext) {
+        init_test(cx);
+
+        let shared_path = PathBuf::from("/repo");
+        let local_open_folder = OpenFolderEntry {
+            worktree_id: WorktreeId::from_usize(0),
+            name: "repo".into(),
+            path: shared_path.clone(),
+            branch: None,
+            is_active: false,
+            connection_options: None,
+        };
+
+        let delegate = RecentProjectsDelegate::new(
+            WeakEntity::new_invalid(),
+            false,
+            cx.update(|cx| cx.focus_handle()),
+            vec![local_open_folder],
+            Vec::new(),
+            ProjectPickerStyle::Modal,
+        );
+
+        let paths = PathList::new(&[shared_path]);
+        let local_workspace = RecentWorkspace {
+            workspace_id: WorkspaceId::from_i64(1),
+            location: SerializedWorkspaceLocation::Local,
+            paths: paths.clone(),
+            identity_paths: paths.clone(),
+            timestamp: Utc::now(),
+        };
+        let remote_workspace = RecentWorkspace {
+            workspace_id: WorkspaceId::from_i64(2),
+            location: SerializedWorkspaceLocation::Remote(RemoteConnectionOptions::Mock(
+                remote::MockConnectionOptions { id: 0 },
+            )),
+            paths: paths.clone(),
+            identity_paths: paths,
+            timestamp: Utc::now(),
+        };
+
+        // A local open folder should hide only the matching local recent
+        // project, not a remote checkout that shares the same path.
+        assert!(delegate.is_open_folder(&local_workspace));
+        assert!(!delegate.is_open_folder(&remote_workspace));
+    }
+
     #[gpui::test]
     fn deleting_top_recent_project_preserves_scroll_position(cx: &mut TestAppContext) {
         let target = FIRST_RECENT_PROJECT;