diff --git a/CHANGELOG.md b/CHANGELOG.md
index 676333d..7746990 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -13,6 +13,37 @@ Pre-v1.0.0 tags followed the pi npm version (`v{pi_version}[letter]`).
 
 ## Unreleased
 
+### Known issues
+
+- **`mempalace-mcp` can hang the pi TUI uninterruptibly** when the
+  palace is bind-mounted from the macOS host (OrbStack virtiofs) and the
+  container opens a large `chroma.sqlite3` for the first time. Symptoms:
+  pi sits silently after a tool call, ESC does not abort, no progress
+  output. Root cause is **not** WAL contention with another writer (we
+  initially suspected this and ruled it out — diagnosis 2026-06-13 with
+  no other mempalace process running). Most likely causes, in order:
+  1. SQLite cold-open `fcntl`/`flock` semantics over OrbStack virtiofs
+     stalling the chromadb open path before mempalace-mcp emits its
+     `initialize` JSON-RPC response — pi blocks on the handshake.
+  2. Cold HNSW index load/rebuild for a large wing (~23k drawers) doing
+     random-access I/O over virtiofs.
+  3. Stale WAL recovery from a previously OOM-killed mempalace-mcp.
+
+  ESC not interrupting is a pi-side limitation: pi cancels the LLM stream
+  but keeps awaiting the MCP child's stdio. There is no per-call MCP
+  timeout in pi's config. Workaround when stuck:
+  `docker exec <container> pkill -9 -f mempalace-mcp` then restart pi.
+
+  Planned fix: a thin Python stdio-watchdog shim in front of
+  `mempalace-mcp` that applies a per-request timeout and kills the child
+  on stall, **without** killing the long-lived server itself (a naive
+  `timeout 60 mempalace-mcp` wrapper is wrong — it kills the server
+  mid-session). Sharing the palace across harnesses (native pi, container
+  pi, opencode) remains the goal — isolated palaces defeat the point.
+  Longer term: run a single mempalace-mcp daemon on the host and
+  multiplex stdio over a UNIX socket so all clients share one writer on
+  native APFS.
+
 ### Added
 
 - **`dot-watch` helper** (`/usr/local/bin/dot-watch`) — auto-rerenders a
diff --git a/Dockerfile.base b/Dockerfile.base
index 191d03c..9f3ae0d 100644
--- a/Dockerfile.base
+++ b/Dockerfile.base
@@ -279,6 +279,15 @@ RUN ARCH=$(case "${TARGETARCH}" in amd64) echo "x86_64" ;; arm64) echo "aarch64"
 # Provides semantic search over conversation history via 29 MCP tools.
 # Always installed in the base. Set INSTALL_MEMPALACE=false at base-build
 # time to shave ~300 MB.
+#
+# TODO(2026-06-13): wrap mempalace-mcp with a stdio-watchdog shim that
+# applies a per-REQUEST timeout (not a per-process timeout — naive
+# `timeout 60 mempalace-mcp` would kill the long-lived server mid-session).
+# When the palace is bind-mounted from macOS via OrbStack virtiofs, cold
+# chroma.sqlite3 open or HNSW load can stall the JSON-RPC `initialize`
+# response and pi's TUI sits uninterruptibly (ESC cancels the LLM stream,
+# not the MCP child stdio). See CHANGELOG.md "Unreleased > Known issues".
+# Recovery today: `docker exec <ctr> pkill -9 -f mempalace-mcp`.
 ARG INSTALL_MEMPALACE=true
 # Pin to a known-good version. Bump deliberately, not implicitly: an
 # unpinned install silently swept in mempalace 3.3.x/3.4.0 with a broken