diff --git a/src/main/java/org/springframework/data/gemfire/config/CacheParser.java b/src/main/java/org/springframework/data/gemfire/config/CacheParser.java
index 192a0f2f..40b20142 100644
--- a/src/main/java/org/springframework/data/gemfire/config/CacheParser.java
+++ b/src/main/java/org/springframework/data/gemfire/config/CacheParser.java
@@ -1,5 +1,5 @@
 /*
- * Copyright 2010-2011 the original author or authors.
+ * Copyright 2010-2012 the original author or authors.
  *
  * Licensed under the Apache License, Version 2.0 (the "License");
  * you may not use this file except in compliance with the License.
@@ -29,6 +29,7 @@ import org.w3c.dom.Element;
  * Parser for <cache;gt; definitions.
  * 
  * @author Costin Leau
+ * @author Oliver Gierke
  */
 class CacheParser extends AbstractSingleBeanDefinitionParser {
 
@@ -48,6 +49,7 @@ class CacheParser extends AbstractSingleBeanDefinitionParser {
 		ParsingUtils.setPropertyValue(element, builder, "pdx-persistent", "pdxPersistent");
 		ParsingUtils.setPropertyValue(element, builder, "pdx-read-serialized", "pdxReadSerialized");
 		ParsingUtils.setPropertyValue(element, builder, "pdx-ignore-unread-fields", "pdxIgnoreUnreadFields");
+		ParsingUtils.setPropertyValue(element, builder, "use-bean-factory-locator", "useBeanFactoryLocator");
 	}
 
 	@Override
diff --git a/src/test/java/org/springframework/data/gemfire/config/CacheNamespaceTest.java b/src/test/java/org/springframework/data/gemfire/config/CacheNamespaceTest.java
index 614b322e..8b5b2ec5 100644
--- a/src/test/java/org/springframework/data/gemfire/config/CacheNamespaceTest.java
+++ b/src/test/java/org/springframework/data/gemfire/config/CacheNamespaceTest.java
@@ -16,10 +16,8 @@
 
 package org.springframework.data.gemfire.config;
 
-import static org.junit.Assert.assertEquals;
-import static org.junit.Assert.assertNotNull;
-import static org.junit.Assert.assertNull;
-import static org.junit.Assert.assertTrue;
+import static org.hamcrest.CoreMatchers.*;
+import static org.junit.Assert.*;
 
 import org.junit.Test;
 import org.springframework.core.io.Resource;
@@ -28,6 +26,7 @@ import org.springframework.data.gemfire.GemfireBeanFactoryLocator;
 import org.springframework.data.gemfire.RecreatingContextTest;
 import org.springframework.data.gemfire.TestUtils;
 import org.springframework.data.gemfire.client.ClientCacheFactoryBean;
+import org.springframework.test.util.ReflectionTestUtils;
 
 /**
  * @author Costin Leau
@@ -72,6 +71,10 @@ public class CacheNamespaceTest extends RecreatingContextTest {
 	public void testNoBeanFactory() throws Exception {
 		assertTrue(ctx.containsBean("no-bl"));
 		CacheFactoryBean cfb = (CacheFactoryBean) ctx.getBean("&no-bl");
+
+		assertThat((Boolean) ReflectionTestUtils.getField(cfb, "useBeanFactoryLocator"), is(false));
+		assertThat(ReflectionTestUtils.getField(cfb, "factoryLocator"), is(nullValue()));
+
 		GemfireBeanFactoryLocator locator = new GemfireBeanFactoryLocator();
 		try {
 			assertNotNull(locator.useBeanFactory("cache-with-name"));