diff --git a/.changeset/batch-sortable.md b/.changeset/batch-sortable.md
index 2adf760d..c7cd5097 100644
--- a/.changeset/batch-sortable.md
+++ b/.changeset/batch-sortable.md
@@ -1,5 +1,5 @@
 ---
-'@dnd-kit/sortable': patch
+'@dnd-kit/dom': patch
 ---
 
 Batch write operations to `draggable` and `droppable`. Also ensured that droppable instance is registered before draggable instance.
diff --git a/.changeset/distinct-sortable-element.md b/.changeset/distinct-sortable-element.md
new file mode 100644
index 00000000..88f1e3d6
--- /dev/null
+++ b/.changeset/distinct-sortable-element.md
@@ -0,0 +1,5 @@
+---
+'@dnd-kit/dom': patch
+---
+
+Allow `Sortable` to have a distinct `element` from the underlying `source` and `target` elements. This can be useful if you want the collision detection to operate on a subset of the sortable element, but the entirety of the element to move when its index changes.
diff --git a/.changeset/fix-idle-transitions.md b/.changeset/fix-idle-transitions.md
index 37bb7215..6453b313 100644
--- a/.changeset/fix-idle-transitions.md
+++ b/.changeset/fix-idle-transitions.md
@@ -1,5 +1,5 @@
 ---
-'@dnd-kit/sortable': patch
+'@dnd-kit/dom': patch
 ---
 
 Fix an issue where we would update the shape of sortable items while the drag operation status was idle.
diff --git a/packages/dom/src/sortable/OptimisticSortingPlugin.ts b/packages/dom/src/sortable/OptimisticSortingPlugin.ts
index 8aba7526..0fd2265b 100644
--- a/packages/dom/src/sortable/OptimisticSortingPlugin.ts
+++ b/packages/dom/src/sortable/OptimisticSortingPlugin.ts
@@ -80,9 +80,7 @@ export class OptimisticSortingPlugin extends Plugin<DragDropManager> {
               targetIndex
             );
 
-            const sourceElement =
-              source.sortable.droppable.internal.element.peek() ??
-              source.sortable.droppable.placeholder;
+            const sourceElement = source.sortable.element;
             const targetElement = target.element;
 
             if (!targetElement || !sourceElement) {
@@ -131,7 +129,7 @@ export class OptimisticSortingPlugin extends Plugin<DragDropManager> {
               sortableInstances.values()
             ).sort((a, b) => a.index - b.index);
 
-            const sourceElement = source.sortable.droppable.element;
+            const sourceElement = source.sortable.element;
             const targetElement =
               orderedSortables[source.sortable.initialIndex]?.element;
 
diff --git a/packages/dom/src/sortable/SortableKeyboardPlugin.ts b/packages/dom/src/sortable/SortableKeyboardPlugin.ts
index feee4a91..1f501f70 100644
--- a/packages/dom/src/sortable/SortableKeyboardPlugin.ts
+++ b/packages/dom/src/sortable/SortableKeyboardPlugin.ts
@@ -2,6 +2,7 @@ import {effect} from '@dnd-kit/state';
 import {Plugin} from '@dnd-kit/abstract';
 import {closestCorners} from '@dnd-kit/collision';
 import {
+  DOMRectangle,
   isKeyboardEvent,
   scheduler,
   scrollIntoViewIfNeeded,
@@ -128,21 +129,18 @@ export class SortableKeyboardPlugin extends Plugin<DragDropManager> {
           actions.setDropTarget(id).then(() => {
             const {source} = dragOperation;
 
-            if (!source) {
+            if (!source || !isSortable(source)) {
               return;
             }
 
-            const droppable = registry.droppables.get(source.id);
+            const {element} = source.sortable;
 
-            if (!droppable?.element) {
-              return;
-            }
+            if (!element) return;
 
-            const {element} = droppable;
             scrollIntoViewIfNeeded(element);
 
             scheduler.schedule(() => {
-              const shape = droppable.refreshShape();
+              const shape = new DOMRectangle(element);
 
               if (!shape) {
                 return;
diff --git a/packages/dom/src/sortable/index.ts b/packages/dom/src/sortable/index.ts
index 40cfd78f..9eab1e90 100644
--- a/packages/dom/src/sortable/index.ts
+++ b/packages/dom/src/sortable/index.ts
@@ -1,2 +1,3 @@
 export {Sortable, defaultSortableTransition} from './sortable.ts';
 export type {SortableInput, SortableTransition} from './sortable.ts';
+export {isSortable} from './utilities.ts';
diff --git a/packages/dom/src/sortable/sortable.ts b/packages/dom/src/sortable/sortable.ts
index 0d63a899..977f35a5 100644
--- a/packages/dom/src/sortable/sortable.ts
+++ b/packages/dom/src/sortable/sortable.ts
@@ -22,6 +22,7 @@ import {
   animateTransform,
   computeTranslate,
   scheduler,
+  ProxiedElements,
 } from '@dnd-kit/dom/utilities';
 
 import {SortableKeyboardPlugin} from './SortableKeyboardPlugin.ts';
@@ -114,6 +115,8 @@ export class Sortable<T extends Data = Data> {
     }: SortableInput<T>,
     manager: DragDropManager<any, any> | undefined
   ) {
+    let previousGroup = group;
+
     this.droppable = new SortableDroppable<T>(input, manager, this);
     this.draggable = new SortableDraggable<T>(
       {
@@ -125,7 +128,13 @@ export class Sortable<T extends Data = Data> {
               this.previousIndex = this.index;
             }),
           () => {
-            const {index, previousIndex, manager: _} = this;
+            const {index, group, previousIndex, manager: _} = this;
+
+            if (group !== previousGroup) {
+              previousGroup = group;
+              this.previousIndex = index;
+              return;
+            }
 
             // Re-run this effect whenever the index changes
             if (index === previousIndex) {
@@ -234,13 +243,32 @@ export class Sortable<T extends Data = Data> {
     });
   }
 
+  #element: Element | undefined;
+
   public set element(element: Element | undefined) {
-    this.draggable.element = element;
+    batch(() => {
+      const previousElement = this.#element;
+      const droppableElement = this.droppable.element;
+      const draggableElement = this.draggable.element;
+
+      if (!droppableElement || droppableElement === previousElement) {
         this.droppable.element = element;
+      }
+
+      if (!draggableElement || draggableElement === previousElement) {
+        this.draggable.element = element;
+      }
+
+      this.#element = element;
+    });
   }
 
   public get element() {
-    return this.droppable.element ?? this.draggable.element;
+    const element = this.#element;
+
+    if (!element) return;
+
+    return ProxiedElements.get(element) ?? element ?? this.droppable.element;
   }
 
   public set target(target: Element | undefined) {
@@ -342,8 +370,8 @@ export class Sortable<T extends Data = Data> {
     return this.draggable.status;
   }
 
-  public refreshShape(ignoreTransforms: boolean = false) {
-    return this.droppable.refreshShape(ignoreTransforms);
+  public refreshShape() {
+    return this.droppable.refreshShape();
   }
 
   public accepts(draggable: Draggable): boolean {
@@ -382,10 +410,6 @@ export class SortableDraggable<T extends Data> extends Draggable<T> {
   ) {
     super(input, manager);
   }
-
-  public get index() {
-    return this.sortable.index;
-  }
 }
 
 export class SortableDroppable<T extends Data> extends Droppable<T> {
@@ -396,12 +420,4 @@ export class SortableDroppable<T extends Data> extends Droppable<T> {
   ) {
     super(input, manager);
   }
-
-  public refreshShape(ignoreTransforms = false) {
-    return super.refreshShape(ignoreTransforms);
-  }
-
-  public get index() {
-    return this.sortable.index;
-  }
 }
diff --git a/packages/dom/src/utilities/element/index.ts b/packages/dom/src/utilities/element/index.ts
index 05ff28c9..52f6cef0 100644
--- a/packages/dom/src/utilities/element/index.ts
+++ b/packages/dom/src/utilities/element/index.ts
@@ -1,2 +1,2 @@
 export {cloneElement} from './cloneElement.ts';
-export {createPlaceholder} from './createPlaceholder.ts';
+export {ProxiedElements} from './proxiedElements.ts';
diff --git a/packages/dom/src/utilities/element/proxiedElements.ts b/packages/dom/src/utilities/element/proxiedElements.ts
new file mode 100644
index 00000000..62b8148f
--- /dev/null
+++ b/packages/dom/src/utilities/element/proxiedElements.ts
@@ -0,0 +1 @@
+export const ProxiedElements = new WeakMap<Element, Element>();
diff --git a/packages/dom/src/utilities/index.ts b/packages/dom/src/utilities/index.ts
index 8e98ecb8..bd51a10f 100644
--- a/packages/dom/src/utilities/index.ts
+++ b/packages/dom/src/utilities/index.ts
@@ -1,11 +1,16 @@
 export {
   getBoundingRectangle,
   getViewportBoundingRectangle,
+  PositionObserver,
 } from './bounding-rectangle/index.ts';
 
 export {canUseDOM, getDocument, getWindow} from './execution-context/index.ts';
 
-export {cloneElement, createPlaceholder} from './element/index.ts';
+export {
+  cloneElement,
+  createPlaceholder,
+  ProxiedElements,
+} from './element/index.ts';
 
 export {Listeners} from './event-listeners/index.ts';