When creating automatically LODs in Unreal, static meshes that have multiple materials can mess up the material order for LOD1+. This happens with engine versions 4.21, 4.22, 4.23. LOD materials might work for one team member but others might have this issue.
One possible fix that I found for this is to open the mesh and turn Number of LODs to 1 and hit apply and then re-import the mesh. I made this video to showcase that: Post Apocalyptic District LOD fix - YouTube
I would like to know if anyone else is having similar issues or is this just a problem that I´m having. Any solutions would be most welcome, thanks!