Getting 404 with RoR app deployed to nginx server with Capistrano

I've recently deployed a Rails 3.2 app, using Capistrano, to a new nginx instance up on web108, following most of the instructions here: http://docs.webfaction.com/software/rails.html#deploying-a-ruby-on-rails-application-with-capistrano

I've also removed the helloworld starter app and updated the nginx.conf to look like this:

*env               GEM_HOME=/home/webfaction_user/webapps/site_application/gems;
worker_processes  1;

events {
    worker_connections  1024;
}

http {
    access_log  /home/webfaction_user/logs/user/access_site_application.log  combined;
    error_log   /home/webfaction_user/logs/user/error_site_application.log   crit;

    include         mime.types;
    passenger_root  /home/webfaction_user/webapps/site_application/gems/gems/passenger-3.0.11;
    passenger_ruby  /home/webfaction_user/webapps/site_application/bin/ruby;
    sendfile        on;

    passenger_max_instances_per_app  1;
    rails_spawn_method               conservative;
    passenger_max_pool_size 2;

    server {
        listen             28945;
        passenger_enabled  on;
        root               /home/username/webapps/railsapp/current/public;
        server_name        localhost;
        rails_env          production;
    }
}*

The app deploys no problem, and looking at the logs, error free. I've setup a website through the control panel that uses one of my subdomains and the site app containing my deployed RoR app (dir: user/webapps/site_app/deployedrailsapp), URL path is '/'. However, the set up website is displaying a 404.

I originally had root :to=> "pages#home" setup in routes.rb, but commented it out in order to route to the default index.html root file in the public folder, but am still getting the same error.

The root of my subdomain displayed the Rails welcome page for the starter helloworld app; should that same location now display index.html for my deployed app? Has anyone run into this before?

Let me know if you want to see my deploy.rb.