diff --git a/src/Markup/Avalonia.Markup.Xaml.Loader/CompilerExtensions/Transformers/AvaloniaXamlIlControlTemplateTargetTypeMetadataTransformer.cs b/src/Markup/Avalonia.Markup.Xaml.Loader/CompilerExtensions/Transformers/AvaloniaXamlIlControlTemplateTargetTypeMetadataTransformer.cs
index f95d086bf6..4d93408ce8 100644
--- a/src/Markup/Avalonia.Markup.Xaml.Loader/CompilerExtensions/Transformers/AvaloniaXamlIlControlTemplateTargetTypeMetadataTransformer.cs
+++ b/src/Markup/Avalonia.Markup.Xaml.Loader/CompilerExtensions/Transformers/AvaloniaXamlIlControlTemplateTargetTypeMetadataTransformer.cs
@@ -1,6 +1,7 @@
 using System.Linq;
 using XamlX.Ast;
 using XamlX.Transform;
+using XamlX.Transform.Transformers;
 using XamlX.TypeSystem;
 
 namespace Avalonia.Markup.Xaml.XamlIl.CompilerExtensions.Transformers
@@ -22,26 +23,19 @@ namespace Avalonia.Markup.Xaml.XamlIl.CompilerExtensions.Transformers
             IXamlAstTypeReference targetType;
 
             var templatableBaseType = context.Configuration.TypeSystem.GetType("Avalonia.Controls.Control");
-            
-            if ((tt?.Values.FirstOrDefault() is XamlTypeExtensionNode tn))
-            {
-                targetType = tn.Value;
-            }
-            else
+
+            targetType = tt?.Values.FirstOrDefault() switch
             {
-                var parentScope = context.ParentNodes().OfType<AvaloniaXamlIlTargetTypeMetadataNode>()
-                    .FirstOrDefault();
-                if (parentScope?.ScopeType == AvaloniaXamlIlTargetTypeMetadataNode.ScopeTypes.Style)
-                    targetType = parentScope.TargetType;
-                else if (context.ParentNodes().Skip(1).FirstOrDefault() is XamlAstObjectNode directParentNode
-                         && templatableBaseType.IsAssignableFrom(directParentNode.Type.GetClrType()))
-                    targetType = directParentNode.Type;
-                else
-                    targetType = new XamlAstClrTypeReference(node,
-                        templatableBaseType, false);
-            }
-                
-                
+                XamlTypeExtensionNode tn => tn.Value,
+                XamlAstTextNode textNode => TypeReferenceResolver.ResolveType(context, textNode.Text, false, textNode, true),
+                _ when context.ParentNodes()
+                    .OfType<AvaloniaXamlIlTargetTypeMetadataNode>()
+                    .FirstOrDefault() is { ScopeType: AvaloniaXamlIlTargetTypeMetadataNode.ScopeTypes.Style } parentScope => parentScope.TargetType,
+                _ when context.ParentNodes().Skip(1).FirstOrDefault() is XamlAstObjectNode directParentNode
+                         && templatableBaseType.IsAssignableFrom(directParentNode.Type.GetClrType()) => directParentNode.Type,
+                _ => new XamlAstClrTypeReference(node,
+                        templatableBaseType, false)
+            };
 
             return new AvaloniaXamlIlTargetTypeMetadataNode(on, targetType,
                 AvaloniaXamlIlTargetTypeMetadataNode.ScopeTypes.ControlTemplate);
@@ -59,7 +53,7 @@ namespace Avalonia.Markup.Xaml.XamlIl.CompilerExtensions.Transformers
             ControlTemplate,
             Transitions
         }
-        
+
         public AvaloniaXamlIlTargetTypeMetadataNode(IXamlAstValueNode value, IXamlAstTypeReference targetType,
             ScopeTypes type)
             : base(value, value)
diff --git a/tests/Avalonia.Markup.Xaml.UnitTests/Xaml/ControlTemplateTests.cs b/tests/Avalonia.Markup.Xaml.UnitTests/Xaml/ControlTemplateTests.cs
index ea2407e18d..e21f6cd276 100644
--- a/tests/Avalonia.Markup.Xaml.UnitTests/Xaml/ControlTemplateTests.cs
+++ b/tests/Avalonia.Markup.Xaml.UnitTests/Xaml/ControlTemplateTests.cs
@@ -286,6 +286,24 @@ namespace Avalonia.Markup.Xaml.UnitTests.Xaml
             Assert.IsType(typeof(ContentPresenter), template.Build(new ContentControl()).Result);
         }
 
+        [Fact]
+        public void ControlTemplate_With_String_TargetType()
+        {
+            var xaml = @"
+<ControlTemplate xmlns='https://github.com/avaloniaui' 
+                 xmlns:x='http://schemas.microsoft.com/winfx/2006/xaml'
+                 TargetType='ContentControl'>
+    <ContentPresenter Content='{TemplateBinding Content}' />
+</ControlTemplate>
+";
+            var template = AvaloniaRuntimeXamlLoader.Parse<ControlTemplate>(xaml);
+
+            Assert.Equal(typeof(ContentControl), template.TargetType);
+
+            Assert.IsType(typeof(ContentPresenter), template.Build(new ContentControl()).Result);
+        }
+
+
         [Fact]
         public void ControlTemplate_With_Panel_Children_Are_Added()
         {