diff --git a/.jules/bolt.md b/.jules/bolt.md
index 541c0ab51..5cd37e0b7 100644
--- a/.jules/bolt.md
+++ b/.jules/bolt.md
@@ -17,3 +17,7 @@
 ## 2025-05-19 - File Discovery Allocations
 **Learning:** In `discover_importing_files`, `WalkBuilder` results were being converted to `PathBuf` via `.map(|e| e.into_path())` *before* filtering. This caused allocations for every single file in the workspace (including excluded files and directories).
 **Action:** Filter `ignore::DirEntry` directly using `entry.file_type()` and `entry.path()` before mapping to `PathBuf`. This avoids allocations for non-matching files.
+
+## 2025-06-03 - Refactoring Allocations
+**Learning:** In `refactoring.rs`, `insert_at_line`, `replace_range`, and `delete_range` were collecting all lines into `Vec<String>` via `.map(|s| s.to_string()).collect()`, causing excessive O(N) memory allocations for every modification.
+**Action:** Use string iterators, `String::with_capacity(source.len())`, and `.push_str()` instead of collecting into a `Vec<String>` when modifying multiline source code, which avoids per-line allocations.
diff --git a/crates/mill-lang-common/src/refactoring.rs b/crates/mill-lang-common/src/refactoring.rs
index 598ded560..42b10c16d 100644
--- a/crates/mill-lang-common/src/refactoring.rs
+++ b/crates/mill-lang-common/src/refactoring.rs
@@ -334,54 +334,123 @@ impl LineExtractor {
     ///
     /// Returns the modified source code
     pub fn insert_at_line(source: &str, line: u32, text: &str) -> String {
-        let mut lines: Vec<String> = source.lines().map(|s| s.to_string()).collect();
         let insert_pos = line as usize;
+        let mut lines = source.lines();
+
+        // Quick check if line is beyond EOF (rough estimation via iteration)
+        // If we want exact line count, we would iterate fully, but we can just do it while building
+
+        // Bolt performance optimization: use String::with_capacity and iterators instead of
+        // collecting all lines into a Vec<String> and joining. This avoids O(N) string allocations.
+        let mut out = String::with_capacity(source.len() + text.len() + 1);
+
+        for _ in 0..insert_pos {
+            if let Some(l) = lines.next() {
+                out.push_str(l);
+                out.push('\n');
+            } else {
+                // insert_pos is > lines.len(), return original source
+                return source.to_string();
+            }
+        }
 
-        if insert_pos > lines.len() {
-            return source.to_string();
+        out.push_str(text);
+        out.push('\n');
+
+        for l in lines {
+            out.push_str(l);
+            out.push('\n');
         }
 
-        lines.insert(insert_pos, text.to_string());
-        lines.join("\n")
+        // Remove trailing newline if it wasn't there in the original (unless text brought its own newline at the end)
+        // Actually, lines.join("\n") doesn't leave a trailing newline unless lines is empty or we explicitly add it.
+        // source.lines() doesn't include the trailing newline.
+        if out.ends_with('\n') {
+            out.pop();
+        }
+
+        out
     }
 
     /// Replace a range of lines with new text
     ///
     /// Returns the modified source code
     pub fn replace_range(source: &str, range: CodeRange, new_text: &str) -> String {
-        let mut lines: Vec<String> = source.lines().map(|s| s.to_string()).collect();
-
         let start = range.start_line as usize;
         let end = range.end_line as usize;
 
-        if start >= lines.len() || end >= lines.len() {
-            return source.to_string();
+        // Bolt performance optimization: use iterators instead of collecting into Vec<String>
+        let mut lines = source.lines();
+        let mut out = String::with_capacity(source.len() + new_text.len());
+
+        for _ in 0..start {
+            if let Some(l) = lines.next() {
+                out.push_str(l);
+                out.push('\n');
+            } else {
+                return source.to_string();
+            }
+        }
+
+        // Drain the replaced lines
+        for _ in start..=end {
+            if lines.next().is_none() {
+                return source.to_string();
+            }
+        }
+
+        for new_line in new_text.lines() {
+            out.push_str(new_line);
+            out.push('\n');
         }
 
-        // Remove old lines
-        lines.drain(start..=end);
+        for l in lines {
+            out.push_str(l);
+            out.push('\n');
+        }
 
-        // Insert new text (split into lines if necessary)
-        for (i, new_line) in new_text.lines().enumerate() {
-            lines.insert(start + i, new_line.to_string());
+        if out.ends_with('\n') {
+            out.pop();
         }
 
-        lines.join("\n")
+        out
     }
 
     /// Delete a range of lines
     pub fn delete_range(source: &str, range: CodeRange) -> String {
-        let mut lines: Vec<String> = source.lines().map(|s| s.to_string()).collect();
-
         let start = range.start_line as usize;
         let end = range.end_line as usize;
 
-        if start >= lines.len() || end >= lines.len() {
-            return source.to_string();
+        // Bolt performance optimization: use iterators instead of collecting into Vec<String>
+        let mut lines = source.lines();
+        let mut out = String::with_capacity(source.len());
+
+        for _ in 0..start {
+            if let Some(l) = lines.next() {
+                out.push_str(l);
+                out.push('\n');
+            } else {
+                return source.to_string();
+            }
+        }
+
+        // Drain the deleted lines
+        for _ in start..=end {
+            if lines.next().is_none() {
+                return source.to_string();
+            }
+        }
+
+        for l in lines {
+            out.push_str(l);
+            out.push('\n');
+        }
+
+        if out.ends_with('\n') {
+            out.pop();
         }
 
-        lines.drain(start..=end);
-        lines.join("\n")
+        out
     }
 }