diff --git a/modules/storages/app/common/storages/peripherals/nextcloud_connection_validator.rb b/modules/storages/app/common/storages/peripherals/nextcloud_connection_validator.rb
index 21cc4380e148..19e0dcd32126 100644
--- a/modules/storages/app/common/storages/peripherals/nextcloud_connection_validator.rb
+++ b/modules/storages/app/common/storages/peripherals/nextcloud_connection_validator.rb
@@ -44,8 +44,9 @@ def validate
           .or { host_url_not_found }
           .or { missing_dependencies }
           .or { version_mismatch }
-          .or { request_failed_with_unknown_error }
           .or { with_unexpected_content }
+          .or { group_folder_not_found }
+          .or { request_failed_with_unknown_error }
           .value_or(ConnectionValidation.new(type: :healthy,
                                              error_code: :none,
                                              timestamp: Time.current,
@@ -151,20 +152,13 @@ def version_mismatch
 
       # rubocop:enable Metrics/AbcSize
 
-      def request_failed_with_unknown_error
-        return None() if capabilities.success?
-
-        Rails.logger.error(
-          "Connection validation failed with unknown error:\n\t" \
-          "storage: ##{@storage.id} #{@storage.name}\n\t" \
-          "status: #{capabilities.result}\n\t" \
-          "response: #{capabilities.error_payload}"
-        )
+      def group_folder_not_found
+        return None() if files.result != :not_found
 
         Some(ConnectionValidation.new(type: :error,
-                                      error_code: :err_unknown,
+                                      error_code: :err_group_folder_not_found,
                                       timestamp: Time.current,
-                                      description: I18n.t("storages.health.connection_validation.unknown_error")))
+                                      description: I18n.t("storages.health.connection_validation.group_folder_not_found")))
       end
 
       # rubocop:disable Metrics/AbcSize
@@ -199,6 +193,34 @@ def with_unexpected_content
 
       # rubocop:enable Metrics/AbcSize
 
+      # rubocop:disable Metrics/AbcSize
+      def request_failed_with_unknown_error
+        return None() if capabilities.success?
+
+        Rails.logger.error(
+          "Connection validation failed with unknown error:\n\t" \
+          "storage: ##{@storage.id} #{@storage.name}\n\t" \
+          "status: #{capabilities.result}\n\t" \
+          "response: #{capabilities.error_payload}"
+        )
+
+        return None() if files.success?
+
+        Rails.logger.error(
+          "Connection validation failed with unknown error:\n\t" \
+          "storage: ##{@storage.id} #{@storage.name}\n\t" \
+          "status: #{files.result}\n\t" \
+          "response: #{files.error_payload}"
+        )
+
+        Some(ConnectionValidation.new(type: :error,
+                                      error_code: :err_unknown,
+                                      timestamp: Time.current,
+                                      description: I18n.t("storages.health.connection_validation.unknown_error")))
+      end
+
+      # rubocop:enable Metrics/AbcSize
+
       def noop = StorageInteraction::AuthenticationStrategies::Noop.strategy
 
       def userless = Peripherals::Registry.resolve("#{@storage.short_provider_type}.authentication.userless").call
diff --git a/modules/storages/config/locales/en.yml b/modules/storages/config/locales/en.yml
index 3afefd17642c..51013896c8d2 100644
--- a/modules/storages/config/locales/en.yml
+++ b/modules/storages/config/locales/en.yml
@@ -211,6 +211,7 @@ en:
         client_secret_wrong: The configured OAuth 2 client secret is invalid. Please check the configuration.
         drive_id_wrong: The configured drive id could not be found. Please check the configuration.
         group_folder_version_mismatch: The Group Folder version is not supported. Please update your Nextcloud server.
+        group_folder_not_found: The group folder could not be found.
         host_not_found: No Nextcloud server found at the configured host url. Please check the configuration.
         missing_dependencies: 'A required dependency is missing on the file storage. Please add the following dependency: %{dependency}.'
         not_configured: The connection could not be validated. Please finish configuration first.
diff --git a/modules/storages/spec/common/storages/peripherals/nextcloud_connection_validator_spec.rb b/modules/storages/spec/common/storages/peripherals/nextcloud_connection_validator_spec.rb
index db6c731e860b..208a14d2269a 100644
--- a/modules/storages/spec/common/storages/peripherals/nextcloud_connection_validator_spec.rb
+++ b/modules/storages/spec/common/storages/peripherals/nextcloud_connection_validator_spec.rb
@@ -163,6 +163,18 @@
 
       before { project_storage }
 
+      context "if the request returns not_found" do
+        let(:files_response) do
+          Storages::Peripherals::StorageInteraction::Nextcloud::Util.error(:not_found)
+        end
+
+        it "returns a validation failure" do
+          expect(subject.type).to eq(:error)
+          expect(subject.error_code).to eq(:err_group_folder_not_found)
+          expect(subject.description).to eq("The group folder could not be found.")
+        end
+      end
+
       context "if the request returns an error" do
         let(:files_response) do
           Storages::Peripherals::StorageInteraction::Nextcloud::Util.error(:error)