diff --git a/src/openvpn/clinat.c b/src/openvpn/clinat.c
index 2d3b359f..1c79b20d 100644
--- a/src/openvpn/clinat.c
+++ b/src/openvpn/clinat.c
@@ -127,12 +127,19 @@ add_client_nat_to_option_list(struct
client_nat_option_list *dest,
         return;
     }

-    e.network = getaddr(0, network, 0, &ok, NULL);
-    if (!ok)
+    if (network && !strcmp(network, "localhost"))
     {
-        msg(msglevel, "client-nat: bad network: %s", network);
-        return;
+        msg (M_INFO, "*** client-nat localhost detected...");
+        e.network = 0xFFFFFFFF;
+    } else {
+        e.network = getaddr(0, network, 0, &ok, NULL);
+        if (!ok)
+        {
+            msg(msglevel, "client-nat: bad network: %s", network);
+            return;
+        }
     }
+
     e.netmask = getaddr(0, netmask, 0, &ok, NULL);
     if (!ok)
     {
@@ -274,3 +281,35 @@ client_nat_transform(const struct
client_nat_option_list *list,
         }
     }
 }
+
+/*
+* Replaces the localhost token with the IP received from OpenVPN
+*/
+bool
+update_localhost_nat(struct client_nat_option_list *dest, in_addr_t
local_ip)
+{
+    int i;
+    bool ret = false;
+
+    if (!dest) {
+        return ret;
+    }
+
+    for (i=0; i <= dest->n; i++)
+    {
+        struct client_nat_entry *nat_entry = &dest->entries[i];
+        if (nat_entry && nat_entry->network == 0xFFFFFFFF)
+        {
+            struct in_addr addr;
+
+            nat_entry->network = ntohl(local_ip);
+            addr.s_addr = nat_entry->network;
+            char *dot_ip = inet_ntoa(addr);
+
+            msg (M_INFO, "CNAT - Updating NAT table from localhost to:
%s", dot_ip);
+            ret = true;
+        }
+    }
+
+    return ret;
+}
diff --git a/src/openvpn/clinat.h b/src/openvpn/clinat.h
index 94141f51..06afa3b4 100644
--- a/src/openvpn/clinat.h
+++ b/src/openvpn/clinat.h
@@ -64,4 +64,7 @@ void client_nat_transform(const struct
client_nat_option_list *list,
                           struct buffer *ipbuf,
                           const int direction);

+bool update_localhost_nat(struct client_nat_option_list *dest, in_addr_t
local_ip);
+
+
 #endif /* if !defined(CLINAT_H) */
diff --git a/src/openvpn/init.c b/src/openvpn/init.c
index b57e5f8a..dadc10dc 100644
--- a/src/openvpn/init.c
+++ b/src/openvpn/init.c
@@ -2052,6 +2052,8 @@ do_open_tun(struct context *c, int *error_flags)
             *error_flags |= (status ? 0 : ISC_ROUTE_ERRORS);
         }

+        update_localhost_nat(c->options.client_nat, c->c1.tuntap->local);
+
         ret = true;
         static_context = c;
     }
diff --git a/src/openvpn/options.c b/src/openvpn/options.c
index 6b2dfa58..f7161931 100644
--- a/src/openvpn/options.c
+++ b/src/openvpn/options.c
@@ -254,6 +254,7 @@ static const char usage_message[] =
     "                   (Server) Instead of forwarding IPv6 packets send\n"
     "                   ICMPv6 host unreachable packets to the client.\n"
     "--client-nat snat|dnat network netmask alias : on client add 1-to-1
NAT rule.\n"
+    "                  set the network to 'localhost' to use the client ip
received from the server.\n"
     "--push-peer-info : (client only) push client info to server.\n"
