diff --git a/CHANGELOG.md b/CHANGELOG.md
index af9f9d1c..fa812631 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -3,6 +3,7 @@
 * Trigger `HePlaceholder` render when made & inserted in the DOM manually
 * Improve printed error messages during rendering
 * Actually update the `hawkejs.scene.exposed` values after receiving new data from the server
+* Fix custom-element render issue with overlaying variable instances
 
 ## 2.3.15 (2023-11-27)
 
diff --git a/lib/core/variables.js b/lib/core/variables.js
index 35f6dc31..f4d40acb 100644
--- a/lib/core/variables.js
+++ b/lib/core/variables.js
@@ -24,7 +24,7 @@ const Variables = Fn.inherits('Hawkejs.Base', function Variables(renderer, varia
  *
  * @author   Jelle De Loecker   <jelle@develry.be>
  * @since    2.0.0
- * @version  2.0.0
+ * @version  2.3.16
  *
  * @param    {Mixed}      value
  * @param    {Renderer}   renderer
@@ -33,6 +33,10 @@ const Variables = Fn.inherits('Hawkejs.Base', function Variables(renderer, varia
  */
 Variables.setStatic(function cast(value, renderer) {
 
+	if (!renderer) {
+		throw new Error('Unable to cast to Variables without renderer instance');
+	}
+
 	if (!value || typeof value != 'object') {
 		return new Variables(renderer);
 	}
diff --git a/lib/element/custom_element.js b/lib/element/custom_element.js
index 7ea7577d..4f1cc0b3 100644
--- a/lib/element/custom_element.js
+++ b/lib/element/custom_element.js
@@ -951,16 +951,17 @@ function addTemplateRenderer(element_class) {
  *
  * @author   Jelle De Loecker <jelle@develry.be>
  * @since    2.0.0
- * @version  2.3.15
+ * @version  2.3.16
  *
  * @param    {Boolean}   re_render   Is this a render done from outside a normal render?
  */
 function renderCustomTemplate(re_render) {
 
-	var template = this.inner_template;
+	let template = this.inner_template,
+	    has_prepare_logic = typeof this.prepareRenderVariables == 'function';
 
 	if (!template) {
-		return;
+		return this.prepareRenderVariables();
 	}
 
 	let that = this,
@@ -983,7 +984,7 @@ function renderCustomTemplate(re_render) {
 
 	 Hawkejs.series(function getRenderVariables(next) {
 
-		if (!that.prepareRenderVariables) {
+		if (!has_prepare_logic) {
 			return next();
 		}
 
@@ -1020,7 +1021,7 @@ function renderCustomTemplate(re_render) {
 		}
 
 		if (that[Hawkejs.VARIABLES]) {
-			render_vars = that[Hawkejs.VARIABLES].overlay(render_vars);
+			render_vars = Hawkejs.Variables.cast(that[Hawkejs.VARIABLES], renderer).overlay(render_vars);
 		}
 
 		render_vars.self = that;