diff --git a/CMakeLists.txt b/CMakeLists.txt
index 74052ded692..0effc0c381c 100644
--- a/CMakeLists.txt
+++ b/CMakeLists.txt
@@ -1104,10 +1104,19 @@ if(CONFIG_CODE_DATA_RELOCATION)
 endif()
 
 if(CONFIG_USERSPACE)
-  zephyr_get_compile_options_for_lang_as_string(C compiler_flags_priv)
+  # Go for raw properties here since zephyr_get_compile_options_for_lang()
+  # processes the list of options, and wraps it in a $<JOIN thing. When
+  # generating the build systems this leads to some interesting command lines,
+  # with SHELL: not being present and other "random" list-join related issues
+  # (e.g. for IAR toolchains the lists were joined with "gnu" postfixed on a
+  # bunch of entries).
+  get_property(compiler_flags_priv TARGET zephyr_interface PROPERTY INTERFACE_COMPILE_OPTIONS)
   string(REPLACE "$<TARGET_PROPERTY:compiler,coverage>" ""
-         NO_COVERAGE_FLAGS "${compiler_flags_priv}"
-  )
+    KOBJECT_HASH_COMPILE_OPTIONS "${compiler_flags_priv}")
+
+  list(APPEND KOBJECT_HASH_COMPILE_OPTIONS
+                  $<TARGET_PROPERTY:compiler,no_function_sections>
+                  $<TARGET_PROPERTY:compiler,no_data_sections>)
 
   set(PROCESS_GPERF ${ZEPHYR_BASE}/scripts/build/process_gperf.py)
 endif()
@@ -1305,11 +1314,13 @@ if(CONFIG_USERSPACE)
   add_library(
     kobj_prebuilt_hash_output_lib
     OBJECT ${CMAKE_CURRENT_BINARY_DIR}/${KOBJECT_PREBUILT_HASH_OUTPUT_SRC}
-    )
+  )
 
-  set_source_files_properties(${KOBJECT_PREBUILT_HASH_OUTPUT_SRC}
-    PROPERTIES COMPILE_FLAGS
-    "${NO_COVERAGE_FLAGS} -fno-function-sections -fno-data-sections")
+  # set_target_properties sets ALL properties, target_compile_options() adds
+  # and KOBJECT_HASH_COMPILE_OPTIONS contains all the options.
+  set_target_properties(kobj_prebuilt_hash_output_lib PROPERTIES
+    COMPILE_OPTIONS "${KOBJECT_HASH_COMPILE_OPTIONS}"
+  )
 
   target_compile_definitions(kobj_prebuilt_hash_output_lib
     PRIVATE $<TARGET_PROPERTY:zephyr_interface,INTERFACE_COMPILE_DEFINITIONS>
@@ -1514,9 +1525,9 @@ if(CONFIG_USERSPACE)
     OBJECT ${CMAKE_CURRENT_BINARY_DIR}/${KOBJECT_HASH_OUTPUT_SRC}
     )
 
-  set_source_files_properties(${KOBJECT_HASH_OUTPUT_SRC}
-    PROPERTIES COMPILE_FLAGS
-    "${NO_COVERAGE_FLAGS} -fno-function-sections -fno-data-sections")
+  set_target_properties(kobj_hash_output_lib PROPERTIES
+    COMPILE_OPTIONS "${KOBJECT_HASH_COMPILE_OPTIONS}"
+  )
 
   target_compile_definitions(kobj_hash_output_lib
     PRIVATE $<TARGET_PROPERTY:zephyr_interface,INTERFACE_COMPILE_DEFINITIONS>
diff --git a/cmake/compiler/arcmwdt/compiler_flags.cmake b/cmake/compiler/arcmwdt/compiler_flags.cmake
index 2827c954e75..fa5370628ea 100644
--- a/cmake/compiler/arcmwdt/compiler_flags.cmake
+++ b/cmake/compiler/arcmwdt/compiler_flags.cmake
@@ -215,3 +215,9 @@ set_compiler_property(PROPERTY warning_no_array_bounds)
 
 set_compiler_property(PROPERTY no_builtin -fno-builtin)
 set_compiler_property(PROPERTY no_builtin_malloc -fno-builtin-malloc)
+
+# Compiler flag for not placing functions in their own sections:
+set_compiler_property(PROPERTY no_function_sections "-fno-function-sections")
+
+# Compiler flag for not placing variables in their own sections:
+set_compiler_property(PROPERTY no_data_sections "-fno-data-sections")
diff --git a/cmake/compiler/compiler_flags_template.cmake b/cmake/compiler/compiler_flags_template.cmake
index bd8733ce9d0..34acddfa362 100644
--- a/cmake/compiler/compiler_flags_template.cmake
+++ b/cmake/compiler/compiler_flags_template.cmake
@@ -161,3 +161,9 @@ set_compiler_property(PROPERTY include_file)
 set_compiler_property(PROPERTY cmse)
 
 set_property(TARGET asm PROPERTY cmse)
+
+# Compiler flag for not placing functions in their own sections:
+set_compiler_property(PROPERTY no_function_sections)
+
+# Compiler flag for not placing variables in their own sections:
+set_compiler_property(PROPERTY no_data_sections)
diff --git a/cmake/compiler/gcc/compiler_flags.cmake b/cmake/compiler/gcc/compiler_flags.cmake
index 53b42823717..9d4989fea47 100644
--- a/cmake/compiler/gcc/compiler_flags.cmake
+++ b/cmake/compiler/gcc/compiler_flags.cmake
@@ -266,3 +266,9 @@ set_compiler_property(PROPERTY include_file -include)
 set_compiler_property(PROPERTY cmse -mcmse)
 
 set_property(TARGET asm PROPERTY cmse -mcmse)
+
+# Compiler flag for not placing functions in their own sections:
+set_compiler_property(PROPERTY no_function_sections "-fno-function-sections")
+
+# Compiler flag for not placing variables in their own sections:
+set_compiler_property(PROPERTY no_data_sections "-fno-data-sections")