diff --git a/editor/scene_tree_dock.cpp b/editor/scene_tree_dock.cpp
index da2d22b900..e8fa3f78cc 100644
--- a/editor/scene_tree_dock.cpp
+++ b/editor/scene_tree_dock.cpp
@@ -658,7 +658,91 @@ void SceneTreeDock::_tool_selected(int p_tool, bool p_confirm_override) {
 				}
 			}
 		} break;
+		case TOOL_SCENE_EDITABLE_CHILDREN: {
+			List<Node *> selection = editor_selection->get_selected_node_list();
+			if (List<Node *>::Element *e = selection.front()) {
+				if (Node *node = e->get()) {
+					bool editable = EditorNode::get_singleton()->get_edited_scene()->is_editable_instance(node);
+					editable = !editable;
 
+					EditorNode::get_singleton()->get_edited_scene()->set_editable_instance(node, editable);
+					menu->set_item_checked(18, editable);
+					if (editable) {
+						node->set_scene_instance_load_placeholder(false);
+						menu->set_item_checked(19, false);
+					}
+					scene_tree->update_tree();
+				}
+			}
+		} break;
+		case TOOL_SCENE_USE_PLACEHOLDER: {
+			List<Node *> selection = editor_selection->get_selected_node_list();
+			if (List<Node *>::Element *e = selection.front()) {
+				if (Node *node = e->get()) {
+					bool placeholder = node->get_scene_instance_load_placeholder();
+					placeholder = !placeholder;
+					if (placeholder)
+						EditorNode::get_singleton()->get_edited_scene()->set_editable_instance(node, false);
+
+					node->set_scene_instance_load_placeholder(placeholder);
+					menu->set_item_checked(18, false);
+					menu->set_item_checked(19, placeholder);
+					scene_tree->update_tree();
+				}
+			}
+		} break;
+		case TOOL_SCENE_CLEAR_INSTANCING: {
+			List<Node *> selection = editor_selection->get_selected_node_list();
+			if (List<Node *>::Element *e = selection.front()) {
+				if (Node *node = e->get()) {
+					Node *root = EditorNode::get_singleton()->get_edited_scene();
+					UndoRedo *undo_redo = &editor_data->get_undo_redo();
+					if (!root)
+						break;
+
+					ERR_FAIL_COND(node->get_filename() == String());
+
+					undo_redo->create_action("Discard Instancing");
+					undo_redo->add_do_method(node, "set_filename", "");
+					undo_redo->add_undo_method(node, "set_filename", node->get_filename());
+					_node_replace_owner(node, node, root);
+					undo_redo->add_do_method(scene_tree, "update_tree");
+					undo_redo->add_undo_method(scene_tree, "update_tree");
+					undo_redo->commit_action();
+				}
+			}
+		} break;
+		case TOOL_SCENE_OPEN: {
+			List<Node *> selection = editor_selection->get_selected_node_list();
+			if (List<Node *>::Element *e = selection.front()) {
+				if (Node *node = e->get()) {
+					scene_tree->emit_signal("open", node->get_filename());
+				}
+			}
+		} break;
+		case TOOL_SCENE_CLEAR_INHERITANCE: {
+			clear_inherit_confirm->popup_centered_minsize();
+		} break;
+		case TOOL_SCENE_CLEAR_INHERITANCE_CONFIRM: {
+			List<Node *> selection = editor_selection->get_selected_node_list();
+			if (List<Node *>::Element *e = selection.front()) {
+				if (Node *node = e->get()) {
+					node->set_scene_inherited_state(Ref<SceneState>());
+					scene_tree->update_tree();
+					EditorNode::get_singleton()->get_property_editor()->update_tree();
+				}
+			}
+		} break;
+		case TOOL_SCENE_OPEN_INHERITED: {
+			List<Node *> selection = editor_selection->get_selected_node_list();
+			if (List<Node *>::Element *e = selection.front()) {
+				if (Node *node = e->get()) {
+					if (node && node->get_scene_inherited_state().is_valid()) {
+						scene_tree->emit_signal("open", node->get_scene_inherited_state()->get_path());
+					}
+				}
+			}
+		} break;
 		default: {
 
 			if (p_tool >= EDIT_SUBRESOURCE_BASE) {
@@ -702,6 +786,29 @@ void SceneTreeDock::_notification(int p_what) {
 			EditorNode::get_singleton()->get_editor_selection()->connect("selection_changed", this, "_selection_changed");
 
 		} break;
+
+		case NOTIFICATION_ENTER_TREE: {
+			clear_inherit_confirm->connect("confirmed", this, "_tool_selected", varray(TOOL_SCENE_CLEAR_INHERITANCE_CONFIRM));
+		} break;
+
+		case NOTIFICATION_EXIT_TREE: {
+			clear_inherit_confirm->disconnect("confirmed", this, "_tool_selected");
+		} break;
+	}
+}
+
+void SceneTreeDock::_node_replace_owner(Node *p_base, Node *p_node, Node *p_root) {
+
+	if (p_base != p_node) {
+		if (p_node->get_owner() == p_base) {
+			UndoRedo *undo_redo = &editor_data->get_undo_redo();
+			undo_redo->add_do_method(p_node, "set_owner", p_root);
+			undo_redo->add_undo_method(p_node, "set_owner", p_base);
+		}
+	}
+
+	for (int i = 0; i < p_node->get_child_count(); i++) {
+		_node_replace_owner(p_base, p_node->get_child(i), p_root);
 	}
 }
 
@@ -1769,6 +1876,24 @@ void SceneTreeDock::_tree_rmb(const Vector2 &p_menu_pos) {
 		menu->add_icon_shortcut(get_icon("CreateNewSceneFrom", "EditorIcons"), ED_GET_SHORTCUT("scene_tree/save_branch_as_scene"), TOOL_NEW_SCENE_FROM);
 		menu->add_separator();
 		menu->add_icon_shortcut(get_icon("CopyNodePath", "EditorIcons"), ED_GET_SHORTCUT("scene_tree/copy_node_path"), TOOL_COPY_NODE_PATH);
+		bool is_external = (selection[0]->get_filename() != "") && (selection[0]->get_owner() != selection[0]);
+		if (is_external) {
+			bool is_inherited = selection[0]->get_scene_inherited_state() != NULL;
+			menu->add_separator();
+			if (is_inherited) {
+				menu->add_item(TTR("Clear Inheritance"), TOOL_SCENE_CLEAR_INHERITANCE);
+				menu->add_icon_item(get_icon("Load", "EditorIcons"), TTR("Open in Editor"), TOOL_SCENE_OPEN_INHERITED);
+			} else {
+				bool editable = EditorNode::get_singleton()->get_edited_scene()->is_editable_instance(selection[0]);
+				bool placeholder = selection[0]->get_scene_instance_load_placeholder();
+				menu->add_check_item(TTR("Editable Children"), TOOL_SCENE_EDITABLE_CHILDREN);
+				menu->add_check_item(TTR("Load As Placeholder"), TOOL_SCENE_USE_PLACEHOLDER);
+				menu->add_item(TTR("Discard Instancing"), TOOL_SCENE_CLEAR_INSTANCING);
+				menu->add_icon_item(get_icon("Load", "EditorIcons"), TTR("Open in Editor"), TOOL_SCENE_OPEN);
+				menu->set_item_checked(18, editable);
+				menu->set_item_checked(19, placeholder);
+			}
+		}
 	}
 	menu->add_separator();
 	menu->add_icon_shortcut(get_icon("Remove", "EditorIcons"), ED_SHORTCUT("scene_tree/delete", TTR("Delete Node(s)"), KEY_DELETE), TOOL_ERASE);
@@ -1978,6 +2103,11 @@ SceneTreeDock::SceneTreeDock(EditorNode *p_editor, Node *p_scene_root, EditorSel
 	first_enter = true;
 	restore_script_editor_on_drag = false;
 
+	clear_inherit_confirm = memnew(ConfirmationDialog);
+	clear_inherit_confirm->set_text(TTR("Clear Inheritance? (No Undo!)"));
+	clear_inherit_confirm->get_ok()->set_text(TTR("Clear!"));
+	add_child(clear_inherit_confirm);
+
 	vbc->add_constant_override("separation", 4);
 	set_process_input(true);
 }
diff --git a/editor/scene_tree_dock.h b/editor/scene_tree_dock.h
index 79e01e7571..5872c5a25d 100644
--- a/editor/scene_tree_dock.h
+++ b/editor/scene_tree_dock.h
@@ -70,7 +70,14 @@ class SceneTreeDock : public VBoxContainer {
 		TOOL_MULTI_EDIT,
 		TOOL_ERASE,
 		TOOL_COPY_NODE_PATH,
-		TOOL_BUTTON_MAX
+		TOOL_BUTTON_MAX,
+		TOOL_SCENE_EDITABLE_CHILDREN,
+		TOOL_SCENE_USE_PLACEHOLDER,
+		TOOL_SCENE_CLEAR_INSTANCING,
+		TOOL_SCENE_OPEN,
+		TOOL_SCENE_CLEAR_INHERITANCE,
+		TOOL_SCENE_CLEAR_INHERITANCE_CONFIRM,
+		TOOL_SCENE_OPEN_INHERITED
 	};
 
 	enum {
@@ -112,6 +119,7 @@ class SceneTreeDock : public VBoxContainer {
 	TextureRect *filter_icon;
 
 	PopupMenu *menu;
+	ConfirmationDialog *clear_inherit_confirm;
 
 	bool first_enter;
 
@@ -127,6 +135,7 @@ class SceneTreeDock : public VBoxContainer {
 	void _do_reparent(Node *p_new_parent, int p_position_in_parent, Vector<Node *> p_nodes, bool p_keep_global_xform);
 
 	void _set_owners(Node *p_owner, const Array &p_nodes);
+	void _node_replace_owner(Node *p_base, Node *p_node, Node *p_root);
 	void _load_request(const String &p_path);
 	void _script_open_request(const Ref<Script> &p_script);
 
diff --git a/editor/scene_tree_editor.cpp b/editor/scene_tree_editor.cpp
index fcc3c7f6eb..d12d8b5528 100644
--- a/editor/scene_tree_editor.cpp
+++ b/editor/scene_tree_editor.cpp
@@ -44,110 +44,6 @@ Node *SceneTreeEditor::get_scene_node() {
 	return get_tree()->get_edited_scene_root();
 }
 
-void SceneTreeEditor::_subscene_option(int p_idx) {
-
-	Object *obj = ObjectDB::get_instance(instance_node);
-	if (!obj)
-		return;
-	Node *node = obj->cast_to<Node>();
-	if (!node)
-		return;
-
-	switch (p_idx) {
-
-		case SCENE_MENU_EDITABLE_CHILDREN: {
-
-			bool editable = EditorNode::get_singleton()->get_edited_scene()->is_editable_instance(node);
-			editable = !editable;
-
-			//node->set_instance_children_editable(editable);
-			EditorNode::get_singleton()->get_edited_scene()->set_editable_instance(node, editable);
-			instance_menu->set_item_checked(0, editable);
-			if (editable) {
-				node->set_scene_instance_load_placeholder(false);
-				instance_menu->set_item_checked(1, false);
-			}
-
-			_update_tree();
-
-		} break;
-		case SCENE_MENU_USE_PLACEHOLDER: {
-
-			bool placeholder = node->get_scene_instance_load_placeholder();
-			placeholder = !placeholder;
-
-			//node->set_instance_children_editable(editable);
-			if (placeholder) {
-				EditorNode::get_singleton()->get_edited_scene()->set_editable_instance(node, false);
-			}
-			node->set_scene_instance_load_placeholder(placeholder);
-			instance_menu->set_item_checked(0, false);
-			instance_menu->set_item_checked(1, placeholder);
-
-			_update_tree();
-
-		} break;
-		case SCENE_MENU_OPEN: {
-
-			emit_signal("open", node->get_filename());
-		} break;
-		case SCENE_MENU_CLEAR_INHERITANCE: {
-			clear_inherit_confirm->popup_centered_minsize();
-		} break;
-		case SCENE_MENU_CLEAR_INSTANCING: {
-
-			Node *root = EditorNode::get_singleton()->get_edited_scene();
-			if (!root)
-				break;
-
-			ERR_FAIL_COND(node->get_filename() == String());
-
-			undo_redo->create_action("Discard Instancing");
-
-			undo_redo->add_do_method(node, "set_filename", "");
-			undo_redo->add_undo_method(node, "set_filename", node->get_filename());
-
-			_node_replace_owner(node, node, root);
-
-			undo_redo->add_do_method(this, "update_tree");
-			undo_redo->add_undo_method(this, "update_tree");
-
-			undo_redo->commit_action();
-
-		} break;
-		case SCENE_MENU_OPEN_INHERITED: {
-			if (node && node->get_scene_inherited_state().is_valid()) {
-				emit_signal("open", node->get_scene_inherited_state()->get_path());
-			}
-		} break;
-		case SCENE_MENU_CLEAR_INHERITANCE_CONFIRM: {
-			if (node && node->get_scene_inherited_state().is_valid()) {
-				node->set_scene_inherited_state(Ref<SceneState>());
-				update_tree();
-				EditorNode::get_singleton()->get_property_editor()->update_tree();
-			}
-
-		} break;
-	}
-}
-
-void SceneTreeEditor::_node_replace_owner(Node *p_base, Node *p_node, Node *p_root) {
-
-	if (p_base != p_node) {
-
-		if (p_node->get_owner() == p_base) {
-
-			undo_redo->add_do_method(p_node, "set_owner", p_root);
-			undo_redo->add_undo_method(p_node, "set_owner", p_base);
-		}
-	}
-
-	for (int i = 0; i < p_node->get_child_count(); i++) {
-
-		_node_replace_owner(p_base, p_node->get_child(i), p_root);
-	}
-}
-
 void SceneTreeEditor::_cell_button_pressed(Object *p_item, int p_column, int p_id) {
 
 	TreeItem *item = p_item->cast_to<TreeItem>();
@@ -159,38 +55,13 @@ void SceneTreeEditor::_cell_button_pressed(Object *p_item, int p_column, int p_i
 	ERR_FAIL_COND(!n);
 
 	if (p_id == BUTTON_SUBSCENE) {
-		//open scene request
-		Rect2 item_rect = tree->get_item_rect(item, 0);
-		item_rect.position.y -= tree->get_scroll().y;
-		item_rect.position += tree->get_global_position();
-
 		if (n == get_scene_node()) {
-			inheritance_menu->set_position(item_rect.position + Vector2(0, item_rect.size.y));
-			inheritance_menu->set_size(Vector2(item_rect.size.x, 0));
-			inheritance_menu->popup();
-			instance_node = n->get_instance_ID();
-
-		} else {
-			instance_menu->set_position(item_rect.position + Vector2(0, item_rect.size.y));
-			instance_menu->set_size(Vector2(item_rect.size.x, 0));
-			if (EditorNode::get_singleton()->get_edited_scene()->is_editable_instance(n))
-				instance_menu->set_item_checked(0, true);
-			else
-				instance_menu->set_item_checked(0, false);
-
-			if (n->get_owner() == get_scene_node()) {
-				instance_menu->set_item_checked(1, n->get_scene_instance_load_placeholder());
-				instance_menu->set_item_disabled(1, false);
-			} else {
-
-				instance_menu->set_item_checked(1, false);
-				instance_menu->set_item_disabled(1, true);
+			if (n && n->get_scene_inherited_state().is_valid()) {
+				emit_signal("open", n->get_scene_inherited_state()->get_path());
 			}
-
-			instance_menu->popup();
-			instance_node = n->get_instance_ID();
+		} else {
+			emit_signal("open", n->get_filename());
 		}
-		//emit_signal("open",n->get_filename());
 	} else if (p_id == BUTTON_SCRIPT) {
 		RefPtr script = n->get_script();
 		if (!script.is_null())
@@ -633,10 +504,7 @@ void SceneTreeEditor::_notification(int p_what) {
 		get_tree()->connect("node_removed", this, "_node_removed");
 		get_tree()->connect("node_configuration_warning_changed", this, "_warning_changed");
 
-		instance_menu->set_item_icon(5, get_icon("Load", "EditorIcons"));
 		tree->connect("item_collapsed", this, "_cell_collapsed");
-		inheritance_menu->set_item_icon(2, get_icon("Load", "EditorIcons"));
-		clear_inherit_confirm->connect("confirmed", this, "_subscene_option", varray(SCENE_MENU_CLEAR_INHERITANCE_CONFIRM));
 
 		EditorSettings::get_singleton()->connect("settings_changed", this, "_editor_settings_changed");
 
@@ -649,7 +517,6 @@ void SceneTreeEditor::_notification(int p_what) {
 		get_tree()->disconnect("tree_changed", this, "_tree_changed");
 		get_tree()->disconnect("node_removed", this, "_node_removed");
 		tree->disconnect("item_collapsed", this, "_cell_collapsed");
-		clear_inherit_confirm->disconnect("confirmed", this, "_subscene_option");
 		get_tree()->disconnect("node_configuration_warning_changed", this, "_warning_changed");
 		EditorSettings::get_singleton()->disconnect("settings_changed", this, "_editor_settings_changed");
 	}
@@ -1059,7 +926,6 @@ void SceneTreeEditor::_bind_methods() {
 	ClassDB::bind_method("_selection_changed", &SceneTreeEditor::_selection_changed);
 	ClassDB::bind_method("_cell_button_pressed", &SceneTreeEditor::_cell_button_pressed);
 	ClassDB::bind_method("_cell_collapsed", &SceneTreeEditor::_cell_collapsed);
-	ClassDB::bind_method("_subscene_option", &SceneTreeEditor::_subscene_option);
 	ClassDB::bind_method("_rmb_select", &SceneTreeEditor::_rmb_select);
 	ClassDB::bind_method("_warning_changed", &SceneTreeEditor::_warning_changed);
 
@@ -1145,29 +1011,6 @@ SceneTreeEditor::SceneTreeEditor(bool p_label, bool p_can_rename, bool p_can_ope
 	updating_tree = false;
 	blocked = 0;
 
-	instance_menu = memnew(PopupMenu);
-	instance_menu->add_check_item(TTR("Editable Children"), SCENE_MENU_EDITABLE_CHILDREN);
-	instance_menu->add_check_item(TTR("Load As Placeholder"), SCENE_MENU_USE_PLACEHOLDER);
-	instance_menu->add_separator();
-	instance_menu->add_item(TTR("Discard Instancing"), SCENE_MENU_CLEAR_INSTANCING);
-	instance_menu->add_separator();
-	instance_menu->add_item(TTR("Open in Editor"), SCENE_MENU_OPEN);
-	instance_menu->connect("id_pressed", this, "_subscene_option");
-	add_child(instance_menu);
-
-	inheritance_menu = memnew(PopupMenu);
-	inheritance_menu->add_item(TTR("Clear Inheritance"), SCENE_MENU_CLEAR_INHERITANCE);
-	inheritance_menu->add_separator();
-	inheritance_menu->add_item(TTR("Open in Editor"), SCENE_MENU_OPEN_INHERITED);
-	inheritance_menu->connect("id_pressed", this, "_subscene_option");
-
-	add_child(inheritance_menu);
-
-	clear_inherit_confirm = memnew(ConfirmationDialog);
-	clear_inherit_confirm->set_text(TTR("Clear Inheritance? (No Undo!)"));
-	clear_inherit_confirm->get_ok()->set_text(TTR("Clear!"));
-	add_child(clear_inherit_confirm);
-
 	update_timer = memnew(Timer);
 	update_timer->connect("timeout", this, "_update_tree");
 	update_timer->set_one_shot(true);
diff --git a/editor/scene_tree_editor.h b/editor/scene_tree_editor.h
index ec7115afed..c6283af7b5 100644
--- a/editor/scene_tree_editor.h
+++ b/editor/scene_tree_editor.h
@@ -56,27 +56,14 @@ class SceneTreeEditor : public Control {
 		BUTTON_GROUPS = 7,
 	};
 
-	enum {
-		SCENE_MENU_EDITABLE_CHILDREN,
-		SCENE_MENU_USE_PLACEHOLDER,
-		SCENE_MENU_OPEN,
-		SCENE_MENU_CLEAR_INHERITANCE,
-		SCENE_MENU_OPEN_INHERITED,
-		SCENE_MENU_CLEAR_INHERITANCE_CONFIRM,
-		SCENE_MENU_CLEAR_INSTANCING,
-	};
-
 	Tree *tree;
 	Node *selected;
-	PopupMenu *instance_menu;
-	PopupMenu *inheritance_menu;
 	ObjectID instance_node;
 
 	String filter;
 
 	AcceptDialog *error;
 	AcceptDialog *warning;
-	ConfirmationDialog *clear_inherit_confirm;
 
 	int blocked;
 
@@ -119,7 +106,6 @@ class SceneTreeEditor : public Control {
 	void _node_script_changed(Node *p_node);
 	void _node_visibility_changed(Node *p_node);
 	void _update_visibility_color(Node *p_node, TreeItem *p_item);
-	void _subscene_option(int p_idx);
 
 	void _node_replace_owner(Node *p_base, Node *p_node, Node *p_root);