diff --git a/bgpd/bgp_evpn.c b/bgpd/bgp_evpn.c
index a69c3465e3..a50e3707ad 100644
--- a/bgpd/bgp_evpn.c
+++ b/bgpd/bgp_evpn.c
@@ -1725,8 +1725,10 @@ static int delete_routes_for_vni(struct bgp *bgp, struct bgpevpn *vpn)
 }
 
 /*
- * There is a tunnel endpoint IP address change for this VNI,
- * need to re-advertise routes with the new nexthop.
+ * There is a tunnel endpoint IP address change for this VNI, delete
+ * prior type-3 route (if needed) and update.
+ * Note: Route re-advertisement happens elsewhere after other processing
+ * other changes.
  */
 static int handle_tunnel_ip_change(struct bgp *bgp, struct bgpevpn *vpn,
 				   struct in_addr originator_ip)
@@ -1754,7 +1756,7 @@ static int handle_tunnel_ip_change(struct bgp *bgp, struct bgpevpn *vpn,
 
 	/* Update the tunnel IP and re-advertise all routes for this VNI. */
 	vpn->originator_ip = originator_ip;
-	return update_routes_for_vni(bgp, vpn);
+	return 0;
 }
 
 /*
@@ -4397,8 +4399,8 @@ int bgp_evpn_local_vni_del(struct bgp *bgp, vni_t vni)
 }
 
 /*
- * Handle add (or update) of a local VNI. The only VNI change we care
- * about is change to local-tunnel-ip.
+ * Handle add (or update) of a local VNI. The VNI changes we care
+ * about are for the local-tunnel-ip and the (tenant) VRF.
  */
 int bgp_evpn_local_vni_add(struct bgp *bgp, vni_t vni,
 			   struct in_addr originator_ip,
@@ -4416,24 +4418,31 @@ int bgp_evpn_local_vni_add(struct bgp *bgp, vni_t vni,
 	vpn = bgp_evpn_lookup_vni(bgp, vni);
 	if (vpn) {
 
-		/* update tenant_vrf_id if required */
-		if (vpn->tenant_vrf_id != tenant_vrf_id) {
-			bgpevpn_unlink_from_l3vni(vpn);
-			vpn->tenant_vrf_id = tenant_vrf_id;
-			bgpevpn_link_to_l3vni(vpn);
-
-			/* update all routes with new export RT for VRFs */
-			update_routes_for_vni(bgp, vpn);
-		}
-
 		if (is_vni_live(vpn)
-		    && IPV4_ADDR_SAME(&vpn->originator_ip, &originator_ip))
+		    && IPV4_ADDR_SAME(&vpn->originator_ip, &originator_ip)
+		    && vpn->tenant_vrf_id == tenant_vrf_id)
 			/* Probably some other param has changed that we don't
 			 * care about. */
 			return 0;
 
-		/* Local tunnel endpoint IP address has changed */
-		handle_tunnel_ip_change(bgp, vpn, originator_ip);
+		/* Update tenant_vrf_id if it has changed. */
+		if (vpn->tenant_vrf_id != tenant_vrf_id) {
+			bgpevpn_unlink_from_l3vni(vpn);
+			vpn->tenant_vrf_id = tenant_vrf_id;
+			bgpevpn_link_to_l3vni(vpn);
+		}
+
+		/* If tunnel endpoint IP has changed, update (and delete prior
+		 * type-3 route, if needed.)
+		 */
+		if (!IPV4_ADDR_SAME(&vpn->originator_ip, &originator_ip))
+			handle_tunnel_ip_change(bgp, vpn, originator_ip);
+
+		/* Update all routes with new endpoint IP and/or export RT
+		 * for VRFs
+		 */
+		if (is_vni_live(vpn))
+			update_routes_for_vni(bgp, vpn);
 	}
 
 	/* Create or update as appropriate. */