diff --git a/app/assets/stylesheets/sections/projects.scss b/app/assets/stylesheets/sections/projects.scss
index 072ade80ad3130fe649e0cc466739b83d8315ab8..4bdc56d2884a62dd66d86b39f3d5550d1ea6373d 100644
--- a/app/assets/stylesheets/sections/projects.scss
+++ b/app/assets/stylesheets/sections/projects.scss
@@ -42,9 +42,6 @@
       line-height: 20px;
       padding: 8px;
     }
-    label {
-      color: #888;
-    }
     .btn {
       padding: 6px 10px;
       margin-left: 10px;
diff --git a/app/contexts/project_update_context.rb b/app/contexts/project_update_context.rb
deleted file mode 100644
index f6d69e7b62db147cabc74c80f4445b58d18aafeb..0000000000000000000000000000000000000000
--- a/app/contexts/project_update_context.rb
+++ /dev/null
@@ -1,24 +0,0 @@
-class ProjectUpdateContext < BaseContext
-  def execute(role = :default)
-    namespace_id = params[:project].delete(:namespace_id)
-    params[:project].delete(:public) unless can?(current_user, :change_public_mode, project)
-
-    allowed_transfer = can?(current_user, :change_namespace, project) || role == :admin
-
-    if allowed_transfer && namespace_id.present?
-      if namespace_id == Namespace.global_id
-        if project.namespace.present?
-          # Transfer to global namespace from anyone
-          project.transfer(nil)
-        end
-      elsif namespace_id.to_i != project.namespace_id
-        # Transfer to someone namespace
-        namespace = Namespace.find(namespace_id)
-        project.transfer(namespace)
-      end
-    end
-
-    project.update_attributes(params[:project], as: role)
-  end
-end
-
diff --git a/app/contexts/projects/create_context.rb b/app/contexts/projects/create_context.rb
new file mode 100644
index 0000000000000000000000000000000000000000..5329443c5f71119cbc192cb4f223b7489414296f
--- /dev/null
+++ b/app/contexts/projects/create_context.rb
@@ -0,0 +1,64 @@
+module Projects
+  class CreateContext < BaseContext
+    def execute
+      # get namespace id
+      namespace_id = params[:project].delete(:namespace_id)
+
+      @project = Project.new(params[:project])
+
+      # Parametrize path for project
+      #
+      # Ex.
+      #  'GitLab HQ'.parameterize => "gitlab-hq"
+      #
+      @project.path = @project.name.dup.parameterize
+
+
+      if namespace_id
+        # Find matching namespace and check if it allowed
+        # for current user if namespace_id passed.
+        if allowed_namespace?(current_user, namespace_id)
+          @project.namespace_id = namespace_id unless namespace_id == Namespace.global_id
+        else
+          deny_namespace
+          return @project
+        end
+      else
+        # Set current user namespace if namespace_id is nil
+        @project.namespace_id = current_user.id
+      end
+
+      Project.transaction do
+        @project.creator = current_user
+        @project.save!
+
+        # Add user as project master
+        @project.users_projects.create!(project_access: UsersProject::MASTER, user: current_user)
+
+        # when project saved no team member exist so
+        # project repository should be updated after first user add
+        @project.update_repository
+      end
+
+      @project
+    rescue => ex
+      @project.errors.add(:base, "Can't save project. Please try again later")
+      @project
+    end
+
+    protected
+
+    def deny_namespace
+      @project.errors.add(:namespace, "is not valid")
+    end
+
+    def allowed_namespace?(user, namespace_id)
+      if namespace_id == Namespace.global_id
+        return user.admin
+      else
+        namespace = Namespace.find_by_id(namespace_id)
+        current_user.can?(:manage_namespace, namespace)
+      end
+    end
+  end
+end
diff --git a/app/contexts/projects/update_context.rb b/app/contexts/projects/update_context.rb
new file mode 100644
index 0000000000000000000000000000000000000000..e5d09b7df7f047b7c183bd5354659f321486047b
--- /dev/null
+++ b/app/contexts/projects/update_context.rb
@@ -0,0 +1,25 @@
+module Projects
+  class UpdateContext < BaseContext
+    def execute(role = :default)
+      namespace_id = params[:project].delete(:namespace_id)
+      params[:project].delete(:public) unless can?(current_user, :change_public_mode, project)
+
+      allowed_transfer = can?(current_user, :change_namespace, project) || role == :admin
+
+      if allowed_transfer && namespace_id.present?
+        if namespace_id == Namespace.global_id
+          if project.namespace.present?
+            # Transfer to global namespace from anyone
+            project.transfer(nil)
+          end
+        elsif namespace_id.to_i != project.namespace_id
+          # Transfer to someone namespace
+          namespace = Namespace.find(namespace_id)
+          project.transfer(namespace)
+        end
+      end
+
+      project.update_attributes(params[:project], as: role)
+    end
+  end
+end
diff --git a/app/controllers/admin/projects_controller.rb b/app/controllers/admin/projects_controller.rb
index fc78db9e3a7d21d23721ce01d4e2b5f62c0889e4..fc2793a72e7b5959fd1f1910b840b53d06240f27 100644
--- a/app/controllers/admin/projects_controller.rb
+++ b/app/controllers/admin/projects_controller.rb
@@ -29,7 +29,7 @@ class Admin::ProjectsController < AdminController
   end
 
   def update
-    status = ProjectUpdateContext.new(project, current_user, params).execute(:admin)
+    status = Projects::UpdateContext.new(project, current_user, params).execute(:admin)
 
     if status
       redirect_to [:admin, @project], notice: 'Project was successfully updated.'
diff --git a/app/controllers/projects_controller.rb b/app/controllers/projects_controller.rb
index 6f1180eaa6b0bb431cf12c629e185ce878861e45..46096f280b895949a34eee412b7233a76e203899 100644
--- a/app/controllers/projects_controller.rb
+++ b/app/controllers/projects_controller.rb
@@ -19,7 +19,7 @@ class ProjectsController < ProjectResourceController
   end
 
   def create
-    @project = Project.create_by_user(params[:project], current_user)
+    @project = Projects::CreateContext.new(nil, current_user, params).execute
 
     respond_to do |format|
       flash[:notice] = 'Project was successfully created.' if @project.saved?
@@ -35,7 +35,7 @@ class ProjectsController < ProjectResourceController
   end
 
   def update
-    status = ProjectUpdateContext.new(project, current_user, params).execute
+    status = Projects::UpdateContext.new(project, current_user, params).execute
 
     respond_to do |format|
       if status
diff --git a/app/helpers/namespaces_helper.rb b/app/helpers/namespaces_helper.rb
index 2d25c8f854d7c0975b577cd46518d33691bae8c2..6d0c6c981917dce72d8f5dc8f36efbd09f650e8b 100644
--- a/app/helpers/namespaces_helper.rb
+++ b/app/helpers/namespaces_helper.rb
@@ -1,12 +1,13 @@
 module NamespacesHelper
   def namespaces_options(selected = :current_user, scope = :default)
-    groups = current_user.owned_groups.select {|n| n.type == 'Group'}
+    if current_user.admin
+      groups = Group.all
+      users = Namespace.root
+    else
+      groups = current_user.owned_groups.select {|n| n.type == 'Group'}
+      users = current_user.namespaces.reject {|n| n.type == 'Group'}
+    end
 
-    users = if scope == :all
-              Namespace.root
-            else
-              current_user.namespaces.reject {|n| n.type == 'Group'}
-            end
 
     global_opts = ["Global", [['/', Namespace.global_id]] ]
     group_opts = ["Groups", groups.map {|g| [g.human_name, g.id]} ]
diff --git a/app/models/ability.rb b/app/models/ability.rb
index 362877f0b223ab8338ae0e9df92a5597b80faf32..c0da9396baa3feb55a3241101ba331594b4f90c7 100644
--- a/app/models/ability.rb
+++ b/app/models/ability.rb
@@ -7,7 +7,7 @@ class Ability
       when "Note" then note_abilities(object, subject)
       when "Snippet" then snippet_abilities(object, subject)
       when "MergeRequest" then merge_request_abilities(object, subject)
-      when "Group" then group_abilities(object, subject)
+      when "Group", "Namespace" then group_abilities(object, subject)
       else []
       end
     end
@@ -102,7 +102,8 @@ class Ability
       # Only group owner and administrators can manage group
       if group.owner == user || user.admin?
         rules << [
-          :manage_group
+          :manage_group,
+          :manage_namespace
         ]
       end
 
diff --git a/app/models/project.rb b/app/models/project.rb
index 62f89e2cd1becbcc7f2aac6aead662e348fc3937..fa38093b7d5364e44cdc2d530fed762a4642d749 100644
--- a/app/models/project.rb
+++ b/app/models/project.rb
@@ -116,55 +116,6 @@ class Project < ActiveRecord::Base
       end
     end
 
-    def create_by_user(params, user)
-      namespace_id = params.delete(:namespace_id)
-
-      project = Project.new params
-
-      Project.transaction do
-
-        # Parametrize path for project
-        #
-        # Ex.
-        #  'GitLab HQ'.parameterize => "gitlab-hq"
-        #
-        project.path = project.name.dup.parameterize
-
-        project.creator = user
-
-        # Apply namespace if user has access to it
-        # else fallback to user namespace
-        if namespace_id != Namespace.global_id
-          project.namespace_id = user.namespace_id
-
-          if namespace_id
-            group = Group.find_by_id(namespace_id)
-            if user.can? :manage_group, group
-              project.namespace_id = namespace_id
-            end
-          end
-        end
-
-        project.save!
-
-        # Add user as project master
-        project.users_projects.create!(project_access: UsersProject::MASTER, user: user)
-
-        # when project saved no team member exist so
-        # project repository should be updated after first user add
-        project.update_repository
-      end
-
-      project
-    rescue Gitlab::Gitolite::AccessDenied => ex
-      project.error_code = :gitolite
-      project
-    rescue => ex
-      project.error_code = :db
-      project.errors.add(:base, "Can't save project. Please try again later")
-      project
-    end
-
     def access_options
       UsersProject.access_roles
     end
diff --git a/app/models/user.rb b/app/models/user.rb
index 7e69f3db84c6ce508874481704e517c44e4f3a0b..7a75379e5008662fd666bda146af875caa470dc7 100644
--- a/app/models/user.rb
+++ b/app/models/user.rb
@@ -152,11 +152,8 @@ class User < ActiveRecord::Base
     namespaces << self.namespace if self.namespace
 
     # Add groups you can manage
-    namespaces += if admin
-                    Group.all
-                  else
-                    groups.all
-                  end
+    namespaces += groups.all
+
     namespaces
   end
 
@@ -234,6 +231,10 @@ class User < ActiveRecord::Base
                    end
   end
 
+  def can_select_namespace?
+    several_namespaces? || admin
+  end
+
   def can? action, subject
     abilities.allowed?(self, action, subject)
   end
diff --git a/app/views/dashboard/_sidebar.html.haml b/app/views/dashboard/_sidebar.html.haml
index ca57cd30732b0ef5b42fe1ebcd1aeac182ff0839..9830cdf4f6b85ee1d1d46116edd240a7945c02e3 100644
--- a/app/views/dashboard/_sidebar.html.haml
+++ b/app/views/dashboard/_sidebar.html.haml
@@ -9,6 +9,6 @@
 
 %hr
 .gitlab-promo
-  = link_to "Homepage", "http://gitlabhq.com"
-  = link_to "Blog", "http://blog.gitlabhq.com"
+  = link_to "Homepage", "http://gitlab.org"
+  = link_to "Blog", "http://blog.gitlab.org"
   = link_to "@gitlabhq", "https://twitter.com/gitlabhq"
diff --git a/app/views/profiles/show.html.haml b/app/views/profiles/show.html.haml
index 64f931ca887a6b0f5854bad97a9d6f3dcbf1ee7e..687463b672cb731c8136803abb4198f72c044bdc 100644
--- a/app/views/profiles/show.html.haml
+++ b/app/views/profiles/show.html.haml
@@ -6,6 +6,11 @@
   %small
     = @user.email
 
+  .right
+    = link_to destroy_user_session_path, class: "logout", method: :delete do
+      %small
+        %i.icon-signout
+        Logout
 %hr
 
 = form_for @user, url: profile_path, method: :put, html: { class: "edit_user form-horizontal" }  do |f|
diff --git a/app/views/projects/_form.html.haml b/app/views/projects/_form.html.haml
index 8bf96f399f8bbe7df96e4df1d315ba80a8da10c5..aa76048302a21c4fb68cf9aeb37d53989ee65af3 100644
--- a/app/views/projects/_form.html.haml
+++ b/app/views/projects/_form.html.haml
@@ -9,19 +9,11 @@
       Project name is
     .input
       = f.text_field :name, placeholder: "Example Project", class: "xxlarge"
-  %fieldset
-    %legend  Advanced settings:
-    .control-group
-      = f.label :path do
-        Repository
-      .controls
-        = text_field_tag :ppath, @repository.path_to_repo, class: "xxlarge", readonly: true
-
+  - unless @repository.heads.empty?
+    .clearfix
+      = f.label :default_branch, "Default Branch"
+      .input= f.select(:default_branch, @repository.heads.map(&:name), {}, style: "width:210px;")
 
-    - unless @repository.heads.empty?
-      .clearfix
-        = f.label :default_branch, "Default Branch"
-        .input= f.select(:default_branch, @repository.heads.map(&:name), {}, style: "width:210px;")
 
   %fieldset.features
     %legend Features:
@@ -87,4 +79,4 @@
     - unless @project.new_record?
       - if can?(current_user, :remove_project, @project)
         .right
-          = link_to 'Remove', @project, confirm: 'Removed project can not be restored! Are you sure?', method: :delete, class: "btn danger"
+          = link_to 'Remove Project', @project, confirm: 'Removed project can not be restored! Are you sure?', method: :delete, class: "btn danger"
diff --git a/app/views/projects/_new_form.html.haml b/app/views/projects/_new_form.html.haml
index 2391c750bc85371f3bd505ca89ba06c92af3ac4d..131a4de42184218ede8675bc1a764c3b5288ae40 100644
--- a/app/views/projects/_new_form.html.haml
+++ b/app/views/projects/_new_form.html.haml
@@ -9,10 +9,10 @@
       = f.text_field :name, placeholder: "Example Project", class: "xxlarge"
       = f.submit 'Create project', class: "btn success project-submit"
 
-  - if current_user.several_namespaces?
+  - if current_user.can_select_namespace?
     .clearfix
       = f.label :namespace_id do
-        %span.cgray Namespace
+        %span Namespace
       .input
         = f.select :namespace_id, namespaces_options(params[:namespace_id] || :current_user), {}, {class: 'chosen'}
   %hr
diff --git a/app/views/projects/create.js.haml b/app/views/projects/create.js.haml
index d388988676d216e386be6a59e5647ba351b2f409..296c8688f479ad104538f295081e39d6b7111cb8 100644
--- a/app/views/projects/create.js.haml
+++ b/app/views/projects/create.js.haml
@@ -2,11 +2,9 @@
   :plain
     location.href = "#{project_path(@project)}";
 - else
-  - if @project.git_error?
-    location.href = "#{errors_githost_path}";
-  -else
   :plain
     $('.project_new_holder').show();
     $("#new_project").replaceWith("#{escape_javascript(render('new_form'))}");
     $('.save-project-loader').hide();
     new Projects();
+    $('select.chosen').chosen()
diff --git a/features/project/project.feature b/features/project/project.feature
index ad3d06bb41f9b9df88c374593bd4385bdce4a43c..23fef69ee488215dfd6ca1ab1cb8c7eb8bcbdf7b 100644
--- a/features/project/project.feature
+++ b/features/project/project.feature
@@ -1,4 +1,4 @@
-Feature: Projects
+Feature: Project Feature
   Background:
     Given I sign in as a user
     And I own project "Shop"
diff --git a/features/steps/project/project.rb b/features/steps/project/project.rb
index 7a85f57a218cdd465a03ea72c5c1d84e53e36e94..e9ef1495dd1f7bfae63aa9555813101b24a1bd22 100644
--- a/features/steps/project/project.rb
+++ b/features/steps/project/project.rb
@@ -1,4 +1,4 @@
-class Projects < Spinach::FeatureSteps
+class ProjectFeature < Spinach::FeatureSteps
   include SharedAuthentication
   include SharedProject
   include SharedPaths
diff --git a/features/steps/shared/project.rb b/features/steps/shared/project.rb
index 3150be5ef185d6f04d2ad7fe0fc62e5f051fcdce..1623edb80d00af8ef51d92d709928bd137521263 100644
--- a/features/steps/shared/project.rb
+++ b/features/steps/shared/project.rb
@@ -47,7 +47,6 @@ module SharedProject
   Then 'I should see project settings' do
     current_path.should == edit_project_path(@project)
     page.should have_content("Project name is")
-    page.should have_content("Advanced settings:")
     page.should have_content("Features:")
   end
 
diff --git a/lib/api/projects.rb b/lib/api/projects.rb
index 55c81f3158acb10e899a0ba93b19edb920d4d245..c4717d111550f61a90eb58d5b743c7b8fde0b115 100644
--- a/lib/api/projects.rb
+++ b/lib/api/projects.rb
@@ -43,7 +43,7 @@ module Gitlab
                                     :wall_enabled,
                                     :merge_requests_enabled,
                                     :wiki_enabled]
-        @project = Project.create_by_user(attrs, current_user)
+        @project = Projects::CreateContext.new(nil, attrs, current_user).execute
         if @project.saved?
           present @project, with: Entities::Project
         else