diff --git a/engine/storage/src/main/java/org/apache/cloudstack/storage/image/db/TemplateDataStoreDaoImpl.java b/engine/storage/src/main/java/org/apache/cloudstack/storage/image/db/TemplateDataStoreDaoImpl.java
index bac01ada5d7..ef3d20a8ea0 100644
--- a/engine/storage/src/main/java/org/apache/cloudstack/storage/image/db/TemplateDataStoreDaoImpl.java
+++ b/engine/storage/src/main/java/org/apache/cloudstack/storage/image/db/TemplateDataStoreDaoImpl.java
@@ -22,6 +22,7 @@ import java.util.Collections;
 import java.util.Date;
 import java.util.List;
 import java.util.Map;
+import java.util.stream.Collectors;
 
 import javax.inject.Inject;
 import javax.naming.ConfigurationException;
@@ -593,6 +594,23 @@ public class TemplateDataStoreDaoImpl extends GenericDaoBase<TemplateDataStoreVO
         return templateDataStoreVO;
     }
 
+    /**
+     * Gets one valid record for the bypassed template.
+     * In case of multiple valid records, the one with the greatest size is returned.
+     */
+    protected TemplateDataStoreVO getValidGreaterSizeBypassedTemplate(List<TemplateDataStoreVO> list, long templateId) {
+        if (CollectionUtils.isEmpty(list)) {
+            return null;
+        }
+        List<TemplateDataStoreVO> filteredList = list.stream()
+                .filter(x -> x.getSize() > 0L &&
+                        x.getTemplateId() == templateId && x.getDownloadState() == Status.BYPASSED &&
+                        x.getState() == State.Ready)
+                .sorted((x,y) -> Long.compare(y.getSize(), x.getSize()))
+                .collect(Collectors.toList());
+        return CollectionUtils.isNotEmpty(filteredList) ? filteredList.get(0) : null;
+    }
+
     @Override
     public TemplateDataStoreVO getReadyBypassedTemplate(long templateId) {
         SearchCriteria<TemplateDataStoreVO> sc = directDownloadTemplateSeach.create();
@@ -600,10 +618,7 @@ public class TemplateDataStoreDaoImpl extends GenericDaoBase<TemplateDataStoreVO
         sc.setParameters("download_state", Status.BYPASSED);
         sc.setParameters("state", State.Ready);
         List<TemplateDataStoreVO> list = search(sc, null);
-        if (CollectionUtils.isEmpty(list) || list.size() > 1) {
-            return null;
-        }
-        return list.get(0);
+        return getValidGreaterSizeBypassedTemplate(list, templateId);
     }
 
     @Override
diff --git a/engine/storage/src/test/java/org/apache/cloudstack/storage/image/db/TemplateDataStoreDaoImplTest.java b/engine/storage/src/test/java/org/apache/cloudstack/storage/image/db/TemplateDataStoreDaoImplTest.java
new file mode 100644
index 00000000000..0949dd97dc3
--- /dev/null
+++ b/engine/storage/src/test/java/org/apache/cloudstack/storage/image/db/TemplateDataStoreDaoImplTest.java
@@ -0,0 +1,77 @@
+// Licensed to the Apache Software Foundation (ASF) under one
+// or more contributor license agreements.  See the NOTICE file
+// distributed with this work for additional information
+// regarding copyright ownership.  The ASF licenses this file
+// to you under the Apache License, Version 2.0 (the
+// "License"); you may not use this file except in compliance
+// with the License.  You may obtain a copy of the License at
+//
+//   http://www.apache.org/licenses/LICENSE-2.0
+//
+// Unless required by applicable law or agreed to in writing,
+// software distributed under the License is distributed on an
+// "AS IS" BASIS, WITHOUT WARRANTIES OR CONDITIONS OF ANY
+// KIND, either express or implied.  See the License for the
+// specific language governing permissions and limitations
+// under the License.
+package org.apache.cloudstack.storage.image.db;
+
+import com.cloud.storage.VMTemplateStorageResourceAssoc;
+import org.apache.cloudstack.engine.subsystem.api.storage.ObjectInDataStoreStateMachine;
+import org.apache.cloudstack.storage.datastore.db.TemplateDataStoreVO;
+import org.junit.Assert;
+import org.junit.Test;
+
+import java.util.Arrays;
+import java.util.List;
+
+public class TemplateDataStoreDaoImplTest {
+
+    private final TemplateDataStoreDaoImpl dao = new TemplateDataStoreDaoImpl();
+
+    private static final long templateId = 1;
+    private static final long templateSize = 9999;
+
+    @Test
+    public void testGetValidGreaterSizeBypassedTemplateEmptyList() {
+        TemplateDataStoreVO ref = dao.getValidGreaterSizeBypassedTemplate(null, templateId);
+        Assert.assertNull(ref);
+    }
+
+    private TemplateDataStoreVO createNewTestReferenceRecord() {
+        TemplateDataStoreVO ref = new TemplateDataStoreVO();
+        ref.setTemplateId(templateId);
+        ref.setState(ObjectInDataStoreStateMachine.State.Ready);
+        ref.setDownloadState(VMTemplateStorageResourceAssoc.Status.BYPASSED);
+        ref.setSize(templateSize);
+        return ref;
+    }
+
+    @Test
+    public void testGetValidGreaterSizeBypassedTemplateMultipleRecords() {
+        TemplateDataStoreVO ref1 = createNewTestReferenceRecord();
+        TemplateDataStoreVO ref2 = createNewTestReferenceRecord();
+        TemplateDataStoreVO ref3 = createNewTestReferenceRecord();
+        ref1.setSize(1111L);
+        ref3.setSize(2L);
+        TemplateDataStoreVO ref = dao.getValidGreaterSizeBypassedTemplate(Arrays.asList(ref1, ref2, ref3), templateId);
+        Assert.assertNotNull(ref);
+        Assert.assertEquals(templateSize, ref.getSize());
+    }
+
+    @Test
+    public void testGetValidGreaterSizeBypassedTemplateOneRecord() {
+        TemplateDataStoreVO ref1 = createNewTestReferenceRecord();
+        TemplateDataStoreVO ref = dao.getValidGreaterSizeBypassedTemplate(List.of(ref1), templateId);
+        Assert.assertNotNull(ref);
+        Assert.assertEquals(templateSize, ref.getSize());
+    }
+
+    @Test
+    public void testGetValidGreaterSizeBypassedTemplateOneRecordInvalidState() {
+        TemplateDataStoreVO ref1 = createNewTestReferenceRecord();
+        ref1.setDownloadState(VMTemplateStorageResourceAssoc.Status.DOWNLOADED);
+        TemplateDataStoreVO ref = dao.getValidGreaterSizeBypassedTemplate(List.of(ref1), templateId);
+        Assert.assertNull(ref);
+    }
+}