diff --git a/moto/s3/models.py b/moto/s3/models.py
index 343b3ae87..21e7284d9 100644
--- a/moto/s3/models.py
+++ b/moto/s3/models.py
@@ -160,12 +160,17 @@ class FakeMultipart(object):
 
 class FakeBucket(object):
 
-    def __init__(self, name):
+    def __init__(self, name, region_name):
         self.name = name
+        self.region_name = region_name
         self.keys = _VersionedKeyStore()
         self.multiparts = {}
         self.versioning_status = None
 
+    @property
+    def location(self):
+        return self.region_name
+
     @property
     def is_versioned(self):
         return self.versioning_status == 'Enabled'
@@ -184,10 +189,10 @@ class S3Backend(BaseBackend):
     def __init__(self):
         self.buckets = {}
 
-    def create_bucket(self, bucket_name):
+    def create_bucket(self, bucket_name, region_name):
         if bucket_name in self.buckets:
             raise BucketAlreadyExists()
-        new_bucket = FakeBucket(name=bucket_name)
+        new_bucket = FakeBucket(name=bucket_name, region_name=region_name)
         self.buckets[bucket_name] = new_bucket
         return new_bucket
 
diff --git a/moto/s3/responses.py b/moto/s3/responses.py
index 7f98c91cf..fba53bb83 100644
--- a/moto/s3/responses.py
+++ b/moto/s3/responses.py
@@ -89,6 +89,10 @@ class ResponseObject(object):
             return 200, headers, template.render(
                 bucket_name=bucket_name,
                 uploads=multiparts)
+        elif 'location' in querystring:
+            bucket = self.backend.get_bucket(bucket_name)
+            template = Template(S3_BUCKET_LOCATION)
+            return 200, headers, template.render(location=bucket.location)
         elif 'versioning' in querystring:
             versioning = self.backend.get_bucket_versioning(bucket_name)
             template = Template(S3_BUCKET_GET_VERSIONING)
@@ -148,7 +152,7 @@ class ResponseObject(object):
                 return 404, headers, ""
         else:
             try:
-                new_bucket = self.backend.create_bucket(bucket_name)
+                new_bucket = self.backend.create_bucket(bucket_name, region_name)
             except BucketAlreadyExists:
                 if region_name == DEFAULT_REGION_NAME:
                     # us-east-1 has different behavior
@@ -470,6 +474,9 @@ S3_DELETE_BUCKET_WITH_ITEMS_ERROR = """<?xml version="1.0" encoding="UTF-8"?>
 <HostId>sdfgdsfgdsfgdfsdsfgdfs</HostId>
 </Error>"""
 
+S3_BUCKET_LOCATION = """<?xml version="1.0" encoding="UTF-8"?>
+<LocationConstraint xmlns="http://s3.amazonaws.com/doc/2006-03-01/">{{ location }}</LocationConstraint>"""
+
 S3_BUCKET_VERSIONING = """
 <?xml version="1.0" encoding="UTF-8"?>
 <VersioningConfiguration xmlns="http://s3.amazonaws.com/doc/2006-03-01/">
diff --git a/tests/test_s3/test_s3.py b/tests/test_s3/test_s3.py
index 2edde307e..161e5bddd 100644
--- a/tests/test_s3/test_s3.py
+++ b/tests/test_s3/test_s3.py
@@ -685,3 +685,10 @@ def test_setting_content_encoding():
 
     key = bucket.get_key("keyname")
     key.content_encoding.should.equal("gzip")
+
+
+@mock_s3
+def test_bucket_location():
+    conn = boto.s3.connect_to_region("us-west-2")
+    bucket = conn.create_bucket('mybucket')
+    bucket.get_location().should.equal("us-west-2")