In contrast to most WLAN localization approaches in literature, which are based on received signal strength indicator (RSSI), we examine the location capabilities of signal propagation delay measurements. We use IEEE 802.11b throughout this paper, as it has become the most common WLAN standard. Signal propagation delays are determined by direct sampling of RF-signals captured by WLAN antennas and subsequent cross-correlation and interpolation. The functionality of the system is evaluated by wired measurements and in an anechoic chamber. In addition, a real world measurement campaign performed in an indoor environment will be presented.