diff --git a/headless-services/bosh-language-server/src/main/java/org/springframework/ide/vscode/bosh/BoshDeploymentManifestSchema.java b/headless-services/bosh-language-server/src/main/java/org/springframework/ide/vscode/bosh/BoshDeploymentManifestSchema.java
index 811b3375a..e3fbbd386 100644
--- a/headless-services/bosh-language-server/src/main/java/org/springframework/ide/vscode/bosh/BoshDeploymentManifestSchema.java
+++ b/headless-services/bosh-language-server/src/main/java/org/springframework/ide/vscode/bosh/BoshDeploymentManifestSchema.java
@@ -143,10 +143,12 @@ public class BoshDeploymentManifestSchema implements YamlSchema {
 		addProp(t_instance_group, "env", t_instance_group_env);
 		
 		addProp(TOPLEVEL_TYPE, "instance_groups", f.yseq(t_instance_group)).isRequired(true);
-		
 		addProp(TOPLEVEL_TYPE, "properties", t_params).isDeprecated("Deprecated in favor of job level properties and links");
 		
-		YType t_variable = t_params; //TODO: https://www.pivotaltracker.com/story/show/148627441
+		YBeanType t_variable = f.ybean("Variable");
+		addProp(t_variable, "name", t_ne_string).isPrimary(true);
+		addProp(t_variable, "type", f.yenum("VariableType", "certificate", "password", "rsa", "ssh")).isRequired(true);
+		addProp(t_variable, "options", t_params);
 		addProp(TOPLEVEL_TYPE, "variables", f.yseq(t_variable));
 
 		addProp(TOPLEVEL_TYPE, "tags", t_params);
diff --git a/headless-services/bosh-language-server/src/main/resources/desc/Variable/name.md b/headless-services/bosh-language-server/src/main/resources/desc/Variable/name.md
new file mode 100644
index 000000000..7e246863d
--- /dev/null
+++ b/headless-services/bosh-language-server/src/main/resources/desc/Variable/name.md
@@ -0,0 +1 @@
+*Required*. Unique name used to identify a variable. Example: `admin_password`
\ No newline at end of file
diff --git a/headless-services/bosh-language-server/src/main/resources/desc/Variable/options.md b/headless-services/bosh-language-server/src/main/resources/desc/Variable/options.md
new file mode 100644
index 000000000..a2c5da4ad
--- /dev/null
+++ b/headless-services/bosh-language-server/src/main/resources/desc/Variable/options.md
@@ -0,0 +1 @@
+*Optional*. Specifies generation options used for generating variable value if variable is not found. Example: `{is_ca: true, common_name: some-ca}`
\ No newline at end of file
diff --git a/headless-services/bosh-language-server/src/main/resources/desc/Variable/type.md b/headless-services/bosh-language-server/src/main/resources/desc/Variable/type.md
new file mode 100644
index 000000000..611892b5b
--- /dev/null
+++ b/headless-services/bosh-language-server/src/main/resources/desc/Variable/type.md
@@ -0,0 +1 @@
+*Required*. Type of a variable. Currently supported variable types are `certificate`, `password`, `rsa`, and `ssh`. Example: `password`.
\ No newline at end of file
diff --git a/headless-services/bosh-language-server/src/test/java/org/springframework/ide/vscode/concourse/BoshEditorTest.java b/headless-services/bosh-language-server/src/test/java/org/springframework/ide/vscode/concourse/BoshEditorTest.java
index 0a55a8e34..3f8979d29 100644
--- a/headless-services/bosh-language-server/src/test/java/org/springframework/ide/vscode/concourse/BoshEditorTest.java
+++ b/headless-services/bosh-language-server/src/test/java/org/springframework/ide/vscode/concourse/BoshEditorTest.java
@@ -147,7 +147,8 @@ public class BoshEditorTest {
 				"update:\n  <*>"
 				, // ============
 				"name: blah\n" +
-				"variables:\n- <*>"
+				"variables:\n" +
+				"- name: <*>"
 				, // ============
 				"name: blah\n" +
 				"director_uuid: <*>"
@@ -461,4 +462,59 @@ public class BoshEditorTest {
 		editor.assertHoverContains("serial", "deployed in parallel");
 	}
 
+	@Test public void variablesBlockCompletions() throws Exception {
+		Editor editor = harness.newEditor(
+				"variables:\n" +
+				"- <*>"
+		);
+		editor.assertCompletions(
+				"variables:\n" +
+				"- name: <*>"
+		);
+		
+		editor = harness.newEditor(
+				"variables:\n" +
+				"- name: foo\n" +
+				"  <*>"
+		);
+		editor.assertCompletions(PLAIN_COMPLETION, 
+				"variables:\n" +
+				"- name: foo\n" +
+				"  options:\n" +
+				"    <*>"
+				, // ===============
+				"variables:\n" +
+				"- name: foo\n" +
+				"  type: <*>"
+		);
+		
+		editor = harness.newEditor(
+				"variables:\n" +
+				"- name: foo\n" +
+				"  type: <*>"
+		);
+		editor.assertCompletionLabels("certificate", "password", "rsa", "ssh");
+	}
+
+	@Test public void variablesBlockHovers() throws Exception {
+		Editor editor = harness.newEditor(
+				"variables:\n" + 
+				"- name: admin_password\n" + 
+				"  type: password\n" + 
+				"- name: default_ca\n" + 
+				"  type: certificate\n" + 
+				"  options:\n" + 
+				"    is_ca: true\n" + 
+				"    common_name: some-ca\n" + 
+				"- name: director_ssl\n" + 
+				"  type: certificate\n" + 
+				"  options:\n" + 
+				"    ca: default_ca\n" + 
+				"    common_name: cc.cf.internal\n" + 
+				"    alternative_names: [cc.cf.internal]"
+		);
+		editor.assertHoverContains("name", "Unique name used to identify a variable");
+		editor.assertHoverContains("type", "Type of a variable");
+		editor.assertHoverContains("options", "Specifies generation options");
+	}
 }