running the following command
virtualenv -p /usr/local/bin/pypy pypy
exits with error like
Running virtualenv with interpreter /usr/local/bin/pypy
New pypy executable in pypy/bin/pypy
debug: WARNING: Library path not found, using compiled-in sys.path.
debug: WARNING: 'sys.prefix' will not be set.
debug: WARNING: Make sure the pypy binary is kept inside its tree of files.
debug: WARNING: It is ok to create a symlink to it from somewhere else.
'import site' failed
AttributeError: 'module' object has no attribute 'prefix'
ERROR: The executable pypy/bin/pypy is not functioning
ERROR: It thinks sys.prefix is u'/Users/myname' (should be u'/Users/myname/pypy')
ERROR: virtualenv is not compatible with this system or executable
I'm running Mac OS X 10.8.1 (Mountain Lion) with CPython 2.7.3 and installed pypy 1.9 using Brew. virtualenv's version is 1.8.4.
Using pre-built pypy binary for Mac OS X downloaded directly from pypy's website doesn't make any difference.
This appears to be a regression in 1.8.4. While trying this out on my system everything worked fine with virtualenv 1.8.2, then I upgraded and now I get the same error as you.