Scene Graph entitity spawning created memory exceed limit error

Summary

I am spawning an entity with an animation and interactable component in an island with memory calculated at 98 700. It is a very large open world island with World Partition enabled. I have been getting quite a few of these: ErrRuntime_MemoryLimitExceeded on the live build causing severe lag. Is the entity spawning not separate from the memory limit during calculation?

Please select what you are reporting on:

Verse

What Type of Bug are you experiencing?

Verse

Steps to Reproduce

Enter private build code to test. take out NPCs or other players to spawn entities.

Expected Result

Entities should spawn into the world without being affected by the memory calculation limit

Observed Result

Memory limit hits when spawning entities in areas with near 100k memory calculation in the map.

Platform(s)

All

Island Code

7479-2122-6559

Additional Notes

Private version with the issue: 8066-3598-7768