Steps to reproduce:
- Create a new project using the High Definition 3D template
- Create a new Decal Projector GameObject (GameObject > Rendering > HDRP Decal Projector)
- Select the newly created Decal Projector GameObject in the Hierarchy window
- Click on the "DefaultHDDecalMaterial" in the Inspector window under the HDRP Decal Projector component
- Click the "New" button and select "HDRP Decal"
- Press Enter
- Observe the Editor
Actual results: The Asset is created in a Package folder, and "New HDRP Decal.mat has no meta file, but it's in an immutable folder.", "Render Graph Execution error", "InvalidOperationException: Material needs to enable instancing for use with DrawMeshInstanced." errors are thrown
Expected results: The Asset is created in the Assets folder
Reproducible with versions: 6000.0.69f1, 6000.3.10f1, 6000.4.0b11, 6000.5.0a8
Tested on (OS): MacOS Silicon Tahoe 26.2