I can't reproduce this.

zx2c4@thinkpad ~ $ export PASSWORD_STORE_DIR=~/.local/share/password-store
zx2c4@thinkpad ~ $ test ! -e $PASSWORD_STORE_DIR && echo no
no
zx2c4@thinkpad ~ $ pass init blurp
mkdir: created directory '/home/zx2c4/.local/share/password-store/'
Password store initialized for blurp

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