diff --git a/sqlmesh/core/renderer.py b/sqlmesh/core/renderer.py
index dc89e15af6..8b733d4c55 100644
--- a/sqlmesh/core/renderer.py
+++ b/sqlmesh/core/renderer.py
@@ -523,8 +523,6 @@ def render(
             runtime_stage, start, end, execution_time, *kwargs.values()
         )
 
-        needs_optimization = needs_optimization and self._optimize_query_flag
-
         if should_cache and self._optimized_cache:
             query = self._optimized_cache
         else:
@@ -560,7 +558,7 @@ def render(
                 )
                 raise
 
-            if needs_optimization:
+            if needs_optimization and self._optimize_query_flag:
                 deps = d.find_tables(
                     query, default_catalog=self._default_catalog, dialect=self._dialect
                 )
diff --git a/tests/core/test_model.py b/tests/core/test_model.py
index b7c74f90a2..4c2f30e2f7 100644
--- a/tests/core/test_model.py
+++ b/tests/core/test_model.py
@@ -11061,3 +11061,38 @@ def entrypoint(context, **kwargs):
 
     assert model_daily is not None
     assert model_daily.cron == "@daily"
+
+
+def test_render_query_optimize_query_false(assert_exp_eq, sushi_context):
+    snapshots = sushi_context.snapshots
+
+    model = sushi_context.get_model("sushi.top_waiters")
+    model = model.copy(update={"optimize_query": False})
+
+    upstream_model_version = sushi_context.get_snapshot("sushi.waiter_revenue_by_day").version
+
+    assert_exp_eq(
+        model.render_query(snapshots=snapshots).sql(),
+        f"""
+        WITH "test_macros" AS (
+          SELECT
+            2 AS "lit_two",
+            "revenue" * 2.0 AS "sql_exp",
+            CAST("revenue" AS TEXT) AS "sql_lit"
+          FROM "memory"."sqlmesh__sushi"."sushi__waiter_revenue_by_day__{upstream_model_version}" AS "waiter_revenue_by_day" /* memory.sushi.waiter_revenue_by_day */
+        )
+        SELECT
+          CAST("waiter_id" AS INT) AS "waiter_id",
+          CAST("revenue" AS DOUBLE) AS "revenue"
+        FROM "memory"."sqlmesh__sushi"."sushi__waiter_revenue_by_day__{upstream_model_version}" AS "waiter_revenue_by_day" /* memory.sushi.waiter_revenue_by_day */
+        WHERE
+          "event_date" = (
+            SELECT
+              MAX("event_date")
+            FROM "memory"."sqlmesh__sushi"."sushi__waiter_revenue_by_day__{upstream_model_version}" AS "waiter_revenue_by_day" /* memory.sushi.waiter_revenue_by_day */
+          )
+        ORDER BY
+          "revenue" DESC
+        LIMIT 10
+        """,
+    )