diff --git a/configs/development.ini b/configs/development.ini
--- a/configs/development.ini
+++ b/configs/development.ini
@@ -78,10 +78,10 @@ debugtoolbar.exclude_prefixes =
 ; default locale used by VCS systems
 #locale = en_US.UTF-8
 
-; path to binaries for vcsserver, it should be set by the installer
+; path to binaries (hg,git,svn) for vcsserver, it should be set by the installer
 ; at installation time, e.g /home/user/.rccontrol/vcsserver-1/profile/bin
-; it can also be a path to nix-build output in case of development
-core.binary_dir = ""
+; or /usr/local/bin/rhodecode_bin/vcs_bin
+core.binary_dir =
 
 ; Custom exception store path, defaults to TMPDIR
 ; This is used to store exception from RhodeCode in shared directory
diff --git a/configs/production.ini b/configs/production.ini
--- a/configs/production.ini
+++ b/configs/production.ini
@@ -41,10 +41,10 @@ use = egg:rhodecode-vcsserver
 ; default locale used by VCS systems
 #locale = en_US.UTF-8
 
-; path to binaries for vcsserver, it should be set by the installer
+; path to binaries (hg,git,svn) for vcsserver, it should be set by the installer
 ; at installation time, e.g /home/user/.rccontrol/vcsserver-1/profile/bin
-; it can also be a path to nix-build output in case of development
-core.binary_dir = ""
+; or /usr/local/bin/rhodecode_bin/vcs_bin
+core.binary_dir =
 
 ; Custom exception store path, defaults to TMPDIR
 ; This is used to store exception from RhodeCode in shared directory
diff --git a/vcsserver/config/settings_maker.py b/vcsserver/config/settings_maker.py
--- a/vcsserver/config/settings_maker.py
+++ b/vcsserver/config/settings_maker.py
@@ -28,6 +28,7 @@ from vcsserver.type_utils import str2boo
 
 log = logging.getLogger(__name__)
 
+
 # skip keys, that are set here, so we don't double process those
 set_keys = {
     '__file__': ''
@@ -51,6 +52,10 @@ class SettingsMaker:
         return int(input_val)
 
     @classmethod
+    def _float_func(cls, input_val):
+        return float(input_val)
+
+    @classmethod
     def _list_func(cls, input_val, sep=','):
         return aslist(input_val, sep=sep)
 
@@ -61,8 +66,17 @@ class SettingsMaker:
         return input_val
 
     @classmethod
-    def _float_func(cls, input_val):
-        return float(input_val)
+    def _string_no_quote_func(cls, input_val, lower=True):
+        """
+        Special case string function that detects if value is set to empty quote string
+        e.g.
+
+        core.binar_dir = ""
+        """
+
+        input_val = cls._string_func(input_val, lower=lower)
+        if input_val in ['""', "''"]:
+            return ''
 
     @classmethod
     def _dir_func(cls, input_val, ensure_dir=False, mode=0o755):
@@ -148,10 +162,12 @@ class SettingsMaker:
         parser_func = {
             'bool': self._bool_func,
             'int': self._int_func,
+            'float': self._float_func,
             'list': self._list_func,
             'list:newline': functools.partial(self._list_func, sep='/n'),
             'list:spacesep': functools.partial(self._list_func, sep=' '),
             'string': functools.partial(self._string_func, lower=lower),
+            'string:noquote': functools.partial(self._string_no_quote_func, lower=lower),
             'dir': self._dir_func,
             'dir:ensured': functools.partial(self._dir_func, ensure_dir=True),
             'file': self._file_path_func,
diff --git a/vcsserver/http_main.py b/vcsserver/http_main.py
--- a/vcsserver/http_main.py
+++ b/vcsserver/http_main.py
@@ -716,7 +716,7 @@ def sanitize_settings_and_apply_defaults
     settings_maker.make_setting('pyramid.default_locale_name', 'en')
     settings_maker.make_setting('locale', 'en_US.UTF-8')
 
-    settings_maker.make_setting('core.binary_dir', '/usr/local/bin/rhodecode_bin/vcs_bin')
+    settings_maker.make_setting('core.binary_dir', '/usr/local/bin/rhodecode_bin/vcs_bin', parser='string:noquote')
 
     temp_store = tempfile.gettempdir()
     default_cache_dir = os.path.join(temp_store, 'rc_cache')