diff --git a/apps/builder/app/builder/builder.tsx b/apps/builder/app/builder/builder.tsx
index dd28d6a8a6..a446ae0029 100644
--- a/apps/builder/app/builder/builder.tsx
+++ b/apps/builder/app/builder/builder.tsx
@@ -19,6 +19,7 @@ import { Topbar } from "./features/topbar";
 import { Footer } from "./features/footer";
 import {
   CanvasIframe,
+  CanvasToolsContainer,
   useReadCanvasRect,
   Workspace,
 } from "./features/workspace";
@@ -93,7 +94,6 @@ const SidePanel = ({
 }: SidePanelProps) => {
   return (
     <Box
-      id="jopa"
       as="aside"
       css={{
         position: "relative",
@@ -115,13 +115,14 @@ const SidePanel = ({
   );
 };
 
-const Main = ({ children }: { children: ReactNode }) => (
+const Main = ({ children, css }: { children: ReactNode; css?: CSS }) => (
   <Flex
     as="main"
     direction="column"
     css={{
       gridArea: "main",
       position: "relative",
+      ...css,
     }}
   >
     {children}
@@ -361,24 +362,6 @@ export const Builder = ({
           navigatorLayout={navigatorLayout}
         >
           <ProjectSettings />
-          <Topbar
-            project={project}
-            hasProPlan={userPlanFeatures.hasProPlan}
-            css={{ gridArea: "header" }}
-            loading={
-              <LoadingBackground
-                // Looks nicer when topbar is already visible earlier, so user has more sense of progress.
-                show={
-                  loadingState.readyStates.get("dataLoadingState")
-                    ? false
-                    : true
-                }
-              />
-            }
-          />
-          <SidePanel gridArea="sidebar">
-            <SidebarLeft publish={publish} />
-          </SidePanel>
           <Main>
             <Workspace onTransitionEnd={onTransitionEnd}>
               {dataLoadingState === "loaded" && (
@@ -392,6 +375,10 @@ export const Builder = ({
 
             {isDesignMode && <AiCommandBar />}
           </Main>
+
+          <SidePanel gridArea="sidebar">
+            <SidebarLeft publish={publish} />
+          </SidePanel>
           <SidePanel
             gridArea="inspector"
             isPreviewMode={isPreviewMode}
@@ -411,6 +398,24 @@ export const Builder = ({
           >
             <Inspector navigatorLayout={navigatorLayout} />
           </SidePanel>
+          <Main css={{ pointerEvents: "none" }}>
+            <CanvasToolsContainer />
+          </Main>
+          <Topbar
+            project={project}
+            hasProPlan={userPlanFeatures.hasProPlan}
+            css={{ gridArea: "header" }}
+            loading={
+              <LoadingBackground
+                // Looks nicer when topbar is already visible earlier, so user has more sense of progress.
+                show={
+                  loadingState.readyStates.get("dataLoadingState")
+                    ? false
+                    : true
+                }
+              />
+            }
+          />
           {isPreviewMode === false && <Footer />}
           <CloneProjectDialog
             isOpen={isCloneDialogOpen}
diff --git a/apps/builder/app/builder/features/marketplace/marketplace.tsx b/apps/builder/app/builder/features/marketplace/marketplace.tsx
index d008622b1e..7c54ef1207 100644
--- a/apps/builder/app/builder/features/marketplace/marketplace.tsx
+++ b/apps/builder/app/builder/features/marketplace/marketplace.tsx
@@ -87,14 +87,16 @@ export const MarketplacePanel = ({ onClose }: { onClose: () => void }) => {
           <SpinnerIcon size={rawTheme.spacing[15]} />
         </Flex>
       )}
-      <ExtendedPanel isOpen={openAboutItem !== undefined}>
-        <About
-          item={openAboutItem}
-          onClose={() => {
-            setOpenAbout(undefined);
-          }}
-        />
-      </ExtendedPanel>
+      {openAboutItem !== undefined && (
+        <ExtendedPanel>
+          <About
+            item={openAboutItem}
+            onClose={() => {
+              setOpenAbout(undefined);
+            }}
+          />
+        </ExtendedPanel>
+      )}
     </>
   );
 };
diff --git a/apps/builder/app/builder/features/pages/pages.tsx b/apps/builder/app/builder/features/pages/pages.tsx
index ca9335f14c..93cdd95825 100644
--- a/apps/builder/app/builder/features/pages/pages.tsx
+++ b/apps/builder/app/builder/features/pages/pages.tsx
@@ -575,9 +575,8 @@ export const PagesPanel = ({ onClose }: { onClose: () => void }) => {
           $editingPageId.set(itemId);
         }}
       />
-
-      <ExtendedPanel isOpen={editingItemId !== undefined}>
-        {editingItemId !== undefined && (
+      {editingItemId !== undefined && (
+        <ExtendedPanel>
           <>
             {isFolder(editingItemId, pages.folders) ? (
               <FolderEditor
@@ -591,8 +590,8 @@ export const PagesPanel = ({ onClose }: { onClose: () => void }) => {
               />
             )}
           </>
-        )}
-      </ExtendedPanel>
+        </ExtendedPanel>
+      )}
     </>
   );
 };
diff --git a/apps/builder/app/builder/features/workspace/canvas-tools/canvas-tools.tsx b/apps/builder/app/builder/features/workspace/canvas-tools/canvas-tools.tsx
index cf92fcd7c2..9009d21827 100644
--- a/apps/builder/app/builder/features/workspace/canvas-tools/canvas-tools.tsx
+++ b/apps/builder/app/builder/features/workspace/canvas-tools/canvas-tools.tsx
@@ -5,6 +5,7 @@ import {
   $instances,
   $isPreviewMode,
   $dragAndDropState,
+  $canvasToolsVisible,
 } from "~/shared/nano-states";
 import {
   CollaborativeInstanceOutline,
@@ -37,11 +38,16 @@ const containerStyle = css({
 export const CanvasTools = () => {
   // @todo try to setup cross-frame atoms to avoid this
   useSubscribeDragAndDropState();
-
+  const canvasToolsVisible = useStore($canvasToolsVisible);
   const isPreviewMode = useStore($isPreviewMode);
   const dragAndDropState = useStore($dragAndDropState);
   const instances = useStore($instances);
   const scale = useStore($scale);
+
+  if (!canvasToolsVisible) {
+    return;
+  }
+
   if (
     dragAndDropState.isDragging &&
     dragAndDropState.placementIndicator !== undefined
diff --git a/apps/builder/app/builder/features/workspace/workspace.tsx b/apps/builder/app/builder/features/workspace/workspace.tsx
index 771dd3a468..66a94cbaec 100644
--- a/apps/builder/app/builder/features/workspace/workspace.tsx
+++ b/apps/builder/app/builder/features/workspace/workspace.tsx
@@ -83,7 +83,6 @@ const useOutlineStyle = () => {
 
   return {
     ...style,
-    pointerEvents: "none",
     width:
       canvasWidth === undefined ? "100%" : (canvasWidth ?? 0) * (scale / 100),
   } as const;
@@ -96,7 +95,6 @@ type WorkspaceProps = {
 
 export const Workspace = ({ children, onTransitionEnd }: WorkspaceProps) => {
   const canvasStyle = useCanvasStyle();
-  const outlineStyle = useOutlineStyle();
   const workspaceRef = useMeasureWorkspace();
   useSetCanvasWidth();
   const handleWorkspaceClick = () => {
@@ -118,13 +116,23 @@ export const Workspace = ({ children, onTransitionEnd }: WorkspaceProps) => {
         >
           {children}
         </div>
-        <div
-          data-name="canvas-tools-wrapper"
-          className={canvasContainerStyle()}
-          style={outlineStyle}
-        >
-          <CanvasTools />
-        </div>
+      </div>
+    </>
+  );
+};
+
+export const CanvasToolsContainer = () => {
+  const outlineStyle = useOutlineStyle();
+  useSetCanvasWidth();
+
+  return (
+    <>
+      <div
+        data-name="canvas-tools-wrapper"
+        className={canvasContainerStyle()}
+        style={outlineStyle}
+      >
+        <CanvasTools />
       </div>
       <Toaster />
     </>
diff --git a/apps/builder/app/builder/shared/extended-sidebar-panel.tsx b/apps/builder/app/builder/shared/extended-sidebar-panel.tsx
index 4f3257c4ea..ed392fc3cf 100644
--- a/apps/builder/app/builder/shared/extended-sidebar-panel.tsx
+++ b/apps/builder/app/builder/shared/extended-sidebar-panel.tsx
@@ -1,7 +1,8 @@
 import { styled, Collapsible, Flex } from "@webstudio-is/design-system";
 import { theme } from "@webstudio-is/design-system";
-import { useRef } from "react";
+import { useEffect, useRef } from "react";
 import { BindingPopoverProvider } from "~/builder/shared/binding-popover";
+import { $canvasToolsVisible } from "~/shared/nano-states";
 
 const CollapsibleRoot = styled(Collapsible.Root, {
   position: "absolute",
@@ -20,16 +21,20 @@ const CollapsibleContent = styled(Collapsible.Content, {
   flexDirection: "column",
 });
 
-export const ExtendedPanel = ({
-  children,
-  isOpen,
-}: {
-  children: React.ReactNode;
-  isOpen: boolean;
-}) => {
+export const ExtendedPanel = ({ children }: { children: React.ReactNode }) => {
   const settingsRef = useRef<HTMLDivElement>(null);
+
+  useEffect(() => {
+    // Quick workaround to hide the outline above extended panels.
+    // These panels should ideally be implemented as `Sheet`-style dialogs.
+    $canvasToolsVisible.set(false);
+    return () => {
+      $canvasToolsVisible.set(true);
+    };
+  }, []);
+
   return (
-    <CollapsibleRoot ref={settingsRef} open={isOpen}>
+    <CollapsibleRoot ref={settingsRef} open={true}>
       <CollapsibleContent>
         <Flex
           direction="column"
diff --git a/apps/builder/app/shared/nano-states/misc.ts b/apps/builder/app/shared/nano-states/misc.ts
index 7d48d7ec7c..9a72f29184 100644
--- a/apps/builder/app/shared/nano-states/misc.ts
+++ b/apps/builder/app/shared/nano-states/misc.ts
@@ -459,3 +459,5 @@ export const $dragAndDropState = atom<DragAndDropState>({
 });
 
 export const $marketplaceProduct = atom<undefined | MarketplaceProduct>();
+
+export const $canvasToolsVisible = atom<boolean>(true);
diff --git a/packages/design-system/src/components/toast.tsx b/packages/design-system/src/components/toast.tsx
index 5178047ed5..274984eb88 100644
--- a/packages/design-system/src/components/toast.tsx
+++ b/packages/design-system/src/components/toast.tsx
@@ -128,6 +128,7 @@ const InternalToast = ({
         css={{
           display: "grid",
           gridTemplateColumns: "8px 1fr",
+          pointerEvents: "all",
         }}
       >
         <Box