diff --git a/cms/djangoapps/contentstore/utils.py b/cms/djangoapps/contentstore/utils.py
index 711b3947f8..03a2b6aae2 100644
--- a/cms/djangoapps/contentstore/utils.py
+++ b/cms/djangoapps/contentstore/utils.py
@@ -13,6 +13,8 @@ from django.utils.translation import ugettext as _
 from django_comment_common.models import assign_default_role
 from django_comment_common.utils import seed_permissions_roles
 
+from openedx.core.djangoapps.self_paced.models import SelfPacedConfiguration
+
 from xmodule.modulestore import ModuleStoreEnum
 from xmodule.modulestore.django import modulestore
 from xmodule.modulestore.exceptions import ItemNotFoundError
@@ -455,3 +457,10 @@ def get_visibility_partition_info(xblock):
         "has_selected_groups": has_selected_groups,
         "selected_verified_partition_id": selected_verified_partition_id,
     }
+
+
+def is_self_paced(course):
+    """
+    Returns True if course is self-paced, False otherwise.
+    """
+    return course and course.self_paced and SelfPacedConfiguration.current().enabled
diff --git a/cms/djangoapps/contentstore/views/item.py b/cms/djangoapps/contentstore/views/item.py
index 6b305b075f..ada012c6ec 100644
--- a/cms/djangoapps/contentstore/views/item.py
+++ b/cms/djangoapps/contentstore/views/item.py
@@ -31,6 +31,8 @@ from contentstore.utils import (
 from contentstore.views.helpers import is_unit, xblock_studio_url, xblock_primary_child_category, \
     xblock_type_display_name, get_parent_xblock, create_xblock, usage_key_with_run
 from contentstore.views.preview import get_preview_fragment
+from contentstore.utils import is_self_paced
+
 from openedx.core.lib.gating import api as gating_api
 from edxmako.shortcuts import render_to_string
 from models.settings.course_grading import CourseGradingModel
@@ -855,7 +857,9 @@ def create_xblock_info(xblock, data=None, metadata=None, include_ancestor_info=F
     release_date = _get_release_date(xblock, user)
 
     if xblock.category != 'course':
-        visibility_state = _compute_visibility_state(xblock, child_info, is_xblock_unit and has_changes)
+        visibility_state = _compute_visibility_state(
+            xblock, child_info, is_xblock_unit and has_changes, is_self_paced(course)
+        )
     else:
         visibility_state = None
     published = modulestore().has_published_version(xblock) if not is_library_block else None
@@ -1017,7 +1021,7 @@ class VisibilityState(object):
     gated = 'gated'
 
 
-def _compute_visibility_state(xblock, child_info, is_unit_with_changes):
+def _compute_visibility_state(xblock, child_info, is_unit_with_changes, is_course_self_paced=False):
     """
     Returns the current publish state for the specified xblock and its children
     """
@@ -1027,10 +1031,10 @@ def _compute_visibility_state(xblock, child_info, is_unit_with_changes):
         # Note that a unit that has never been published will fall into this category,
         # as well as previously published units with draft content.
         return VisibilityState.needs_attention
+
     is_unscheduled = xblock.start == DEFAULT_START_DATE
-    is_live = datetime.now(UTC) > xblock.start
-    children = child_info and child_info.get('children', [])
-    if children and len(children) > 0:
+    is_live = is_course_self_paced or datetime.now(UTC) > xblock.start
+    if child_info and child_info.get('children', []):
         all_staff_only = True
         all_unscheduled = True
         all_live = True
diff --git a/cms/djangoapps/contentstore/views/tests/test_item.py b/cms/djangoapps/contentstore/views/tests/test_item.py
index 558bdeeae2..03024fb587 100644
--- a/cms/djangoapps/contentstore/views/tests/test_item.py
+++ b/cms/djangoapps/contentstore/views/tests/test_item.py
@@ -14,6 +14,7 @@ from django.test.client import RequestFactory
 from django.core.urlresolvers import reverse
 from contentstore.utils import reverse_usage_url, reverse_course_url
 
+from openedx.core.djangoapps.self_paced.models import SelfPacedConfiguration
 from contentstore.views.component import (
     component_handler, get_component_templates
 )
@@ -1847,6 +1848,7 @@ class TestLibraryXBlockCreation(ItemTest):
         self.assertFalse(lib.children)
 
 
+@ddt.ddt
 class TestXBlockPublishingInfo(ItemTest):
     """
     Unit tests for XBlock's outline handling.
@@ -2169,3 +2171,31 @@ class TestXBlockPublishingInfo(ItemTest):
         self._verify_has_staff_only_message(xblock_info, True)
         self._verify_has_staff_only_message(xblock_info, True, path=self.FIRST_SUBSECTION_PATH)
         self._verify_has_staff_only_message(xblock_info, True, path=self.FIRST_UNIT_PATH)
+
+    @ddt.data(ModuleStoreEnum.Type.mongo, ModuleStoreEnum.Type.split)
+    def test_self_paced_item_visibility_state(self, store_type):
+        """
+        Test that in self-paced course, item has `live` visibility state.
+        Test that when item was initially in `scheduled` state in instructor mode, change course pacing to self-paced,
+        now in self-paced course, item should have `live` visibility state.
+        """
+        SelfPacedConfiguration(enabled=True).save()
+
+        # Create course, chapter and setup future release date to make chapter in scheduled state
+        course = CourseFactory.create(default_store=store_type)
+        chapter = self._create_child(course, 'chapter', "Test Chapter")
+        self._set_release_date(chapter.location, datetime.now(UTC) + timedelta(days=1))
+
+        # Check that chapter has scheduled state
+        xblock_info = self._get_xblock_info(chapter.location)
+        self._verify_visibility_state(xblock_info, VisibilityState.ready)
+        self.assertFalse(course.self_paced)
+
+        # Change course pacing to self paced
+        course.self_paced = True
+        self.store.update_item(course, self.user.id)
+        self.assertTrue(course.self_paced)
+
+        # Check that in self paced course content has live state now
+        xblock_info = self._get_xblock_info(chapter.location)
+        self._verify_visibility_state(xblock_info, VisibilityState.live)