diff --git a/bundle/tests/variables/empty/databricks.yml b/bundle/tests/variables/empty/databricks.yml
new file mode 100644
index 0000000000..f90f6211c4
--- /dev/null
+++ b/bundle/tests/variables/empty/databricks.yml
@@ -0,0 +1,7 @@
+variables:
+  a:
+    description: empty variable
+    default:
+
+bundle:
+  name: empty${var.a}
diff --git a/bundle/tests/variables_test.go b/bundle/tests/variables_test.go
index 7cf0f72f03..51a23e5d5d 100644
--- a/bundle/tests/variables_test.go
+++ b/bundle/tests/variables_test.go
@@ -193,3 +193,9 @@ func TestVariableTargetOverrides(t *testing.T) {
 		})
 	}
 }
+
+func TestBundleWithEmptyVariableLoads(t *testing.T) {
+	b := load(t, "./variables/empty")
+	diags := bundle.Apply(context.Background(), b, mutator.SetVariables())
+	require.ErrorContains(t, diags.Error(), "no value assigned to required variable a")
+}
diff --git a/libs/dyn/convert/to_typed.go b/libs/dyn/convert/to_typed.go
index 8febe87aee..181c88cc97 100644
--- a/libs/dyn/convert/to_typed.go
+++ b/libs/dyn/convert/to_typed.go
@@ -282,6 +282,11 @@ func toTypedFloat(dst reflect.Value, src dyn.Value) error {
 }
 
 func toTypedInterface(dst reflect.Value, src dyn.Value) error {
+	if src.Kind() == dyn.KindNil {
+		dst.Set(reflect.Zero(dst.Type()))
+		return nil
+	}
+
 	dst.Set(reflect.ValueOf(src.AsAny()))
 	return nil
 }
diff --git a/libs/dyn/convert/to_typed_test.go b/libs/dyn/convert/to_typed_test.go
index 5e37f28631..37d85539c8 100644
--- a/libs/dyn/convert/to_typed_test.go
+++ b/libs/dyn/convert/to_typed_test.go
@@ -533,3 +533,10 @@ func TestToTypedAnyWithMap(t *testing.T) {
 	require.NoError(t, err)
 	assert.Equal(t, map[string]any{"foo": "bar", "bar": "baz"}, out)
 }
+
+func TestToTypedAnyWithNil(t *testing.T) {
+	var out any
+	err := ToTyped(&out, dyn.NilValue)
+	require.NoError(t, err)
+	assert.Equal(t, nil, out)
+}