diff --git a/packages/viewer/src/components/renderers/item/item-renderer.tsx b/packages/viewer/src/components/renderers/item/item-renderer.tsx
index e05acdfd..c2236122 100644
--- a/packages/viewer/src/components/renderers/item/item-renderer.tsx
+++ b/packages/viewer/src/components/renderers/item/item-renderer.tsx
@@ -12,13 +12,12 @@ import {
 import { useAnimations } from '@react-three/drei'
 import { Clone } from '@react-three/drei/core/Clone'
 import { useGLTF } from '@react-three/drei/core/Gltf'
-import { Suspense, useEffect, useMemo, useRef } from 'react'
 import { useFrame } from '@react-three/fiber'
-import type { Group, Material, Mesh, PointLight } from 'three'
+import { Suspense, useEffect, useMemo, useRef } from 'react'
+import type { AnimationAction, Group, Material, Mesh, PointLight } from 'three'
 import { MathUtils } from 'three'
 import { positionLocal, smoothstep, time } from 'three/tsl'
 import { DoubleSide, MeshStandardNodeMaterial } from 'three/webgpu'
-import { useShallow } from 'zustand/react/shallow'
 import { useNodeEvents } from '../../../hooks/use-node-events'
 import { resolveCdnUrl } from '../../../lib/asset-url'
 import { NodeRenderer } from '../node-renderer'
@@ -99,32 +98,6 @@ const ModelRenderer = ({ node }: { node: ItemNode }) => {
   // Freeze the interactive definition at mount — asset schemas don't change at runtime
   const interactiveRef = useRef(node.asset.interactive)
 
-  // Subscribe only to this node's control values — useShallow prevents re-renders from other nodes' changes
-  const controlValues = useInteractive(useShallow((state) => state.items[node.id]?.controlValues))
-
-  useEffect(() => {
-    const interactive = interactiveRef.current
-    const animEffect = interactive?.effects.find(
-      (e): e is AnimationEffect => e.kind === 'animation',
-    )
-
-    if (!animEffect) {
-      // Non-interactive: play first available animation as default
-      if (animations.length > 0) actions[animations[0]!.name]?.play()
-      return
-    }
-
-    if (!controlValues) return
-
-    const toggleIndex = interactive!.controls.findIndex((c) => c.kind === 'toggle')
-    const isOn = toggleIndex >= 0 ? Boolean(controlValues[toggleIndex]) : false
-
-    for (const action of Object.values(actions)) action?.stop()
-
-    const clipName = isOn ? animEffect.clips.on : (animEffect.clips.off ?? animEffect.clips.loop)
-    if (clipName) actions[clipName]?.play()
-  }, [controlValues, actions, animations])
-
   if (nodes.cutout) {
     nodes.cutout.visible = false
   }
@@ -169,7 +142,10 @@ const ModelRenderer = ({ node }: { node: ItemNode }) => {
   }, [scene])
 
   const interactive = interactiveRef.current
-  const lightEffects = interactive?.effects.filter((e): e is LightEffect => e.kind === 'light') ?? []
+  const animEffect =
+    interactive?.effects.find((e): e is AnimationEffect => e.kind === 'animation') ?? null
+  const lightEffects =
+    interactive?.effects.filter((e): e is LightEffect => e.kind === 'light') ?? []
 
   return (
     <>
@@ -181,6 +157,15 @@ const ModelRenderer = ({ node }: { node: ItemNode }) => {
         rotation={node.asset.rotation}
         {...handlers}
       />
+      {animations.length > 0 && (
+        <ItemAnimation
+          nodeId={node.id}
+          animEffect={animEffect}
+          interactive={interactive ?? null}
+          actions={actions}
+          animations={animations}
+        />
+      )}
       {lightEffects.map((effect, i) => (
         <ItemLight key={i} nodeId={node.id} effect={effect} interactive={interactive!} />
       ))}
@@ -188,6 +173,78 @@ const ModelRenderer = ({ node }: { node: ItemNode }) => {
   )
 }
 
+const ItemAnimation = ({
+  nodeId,
+  animEffect,
+  interactive,
+  actions,
+  animations,
+}: {
+  nodeId: AnyNodeId
+  animEffect: AnimationEffect | null
+  interactive: Interactive | null
+  actions: Record<string, AnimationAction | null>
+  animations: { name: string }[]
+}) => {
+  const activeClipRef = useRef<string | null>(null)
+  const fadingOutRef = useRef<AnimationAction | null>(null)
+
+  // Reactive: derive target clip name — only re-renders when the clip name itself changes
+  const targetClip = useInteractive((s) => {
+    const values = s.items[nodeId]?.controlValues
+    if (!animEffect) return animations[0]?.name ?? null
+    const toggleIndex = interactive!.controls.findIndex((c) => c.kind === 'toggle')
+    const isOn = toggleIndex >= 0 ? Boolean(values?.[toggleIndex]) : false
+    return isOn
+      ? (animEffect.clips.on ?? null)
+      : (animEffect.clips.off ?? animEffect.clips.loop ?? null)
+  })
+
+  // When target clip changes: kick off the transition
+  useEffect(() => {
+    // Cancel any ongoing fade-out immediately
+    if (fadingOutRef.current) {
+      fadingOutRef.current.timeScale = 0
+      fadingOutRef.current = null
+    }
+    // Move current clip to fade-out
+    if (activeClipRef.current && activeClipRef.current !== targetClip) {
+      const old = actions[activeClipRef.current]
+      if (old?.isRunning()) fadingOutRef.current = old
+    }
+    // Start new clip at timeScale 0.01 (as 0 would cause isRunning to be false and thus not play at all), then fade in to 1
+    activeClipRef.current = targetClip
+    if (targetClip) {
+      const next = actions[targetClip]
+      if (next) {
+        next.timeScale = 0.01
+        next.play()
+      }
+    }
+  }, [targetClip, actions])
+
+  // useFrame: only lerping — no logic
+  useFrame((_, delta) => {
+    if (fadingOutRef.current) {
+      const action = fadingOutRef.current
+      action.timeScale = MathUtils.lerp(action.timeScale, 0, Math.min(delta * 5, 1))
+      if (action.timeScale < 0.01) {
+        action.timeScale = 0
+        fadingOutRef.current = null
+      }
+    }
+    if (activeClipRef.current) {
+      const action = actions[activeClipRef.current]
+      if (action?.isRunning() && action.timeScale < 1) {
+        action.timeScale = MathUtils.lerp(action.timeScale, 1, Math.min(delta * 5, 1))
+        if (1 - action.timeScale < 0.01) action.timeScale = 1
+      }
+    }
+  })
+
+  return null
+}
+
 const ItemLight = ({
   nodeId,
   effect,
@@ -201,7 +258,8 @@ const ItemLight = ({
   // Precompute stable indices — interactive is frozen at mount
   const toggleIndex = interactive.controls.findIndex((c) => c.kind === 'toggle')
   const sliderIndex = interactive.controls.findIndex((c) => c.kind === 'slider')
-  const sliderControl = sliderIndex >= 0 ? (interactive.controls[sliderIndex] as SliderControl) : null
+  const sliderControl =
+    sliderIndex >= 0 ? (interactive.controls[sliderIndex] as SliderControl) : null
 
   useFrame((_, delta) => {
     if (!lightRef.current) return
@@ -220,7 +278,11 @@ const ItemLight = ({
       ? MathUtils.lerp(effect.intensityRange[0], effect.intensityRange[1], t)
       : effect.intensityRange[0]
 
-    lightRef.current.intensity = MathUtils.lerp(lightRef.current.intensity, target, Math.min(delta * 12, 1))
+    lightRef.current.intensity = MathUtils.lerp(
+      lightRef.current.intensity,
+      target,
+      Math.min(delta * 12, 1),
+    )
   })
 
   return (
diff --git a/packages/viewer/src/systems/interactive/interactive-system.tsx b/packages/viewer/src/systems/interactive/interactive-system.tsx
index aa1415c0..83c89c66 100644
--- a/packages/viewer/src/systems/interactive/interactive-system.tsx
+++ b/packages/viewer/src/systems/interactive/interactive-system.tsx
@@ -5,15 +5,20 @@ import {
   type Control,
   type ControlValue,
   type ItemNode,
+  pointInPolygon,
   sceneRegistry,
   useInteractive,
   useScene,
+  type ZoneNode,
 } from '@pascal-app/core'
 import { Html } from '@react-three/drei'
 import { createPortal, useFrame } from '@react-three/fiber'
 import { useState } from 'react'
-import type { Object3D } from 'three'
+import { type Object3D, Vector3 } from 'three'
 import { useShallow } from 'zustand/react/shallow'
+import useViewer from '../../store/use-viewer'
+
+const _tempVec = new Vector3()
 
 // ---- Parent: one overlay per interactive item ----
 
@@ -50,11 +55,26 @@ const ItemControlsOverlay = ({ nodeId }: { nodeId: AnyNodeId }) => {
   const controlValues = useInteractive(useShallow((state) => state.items[nodeId]?.controlValues))
   const setControlValue = useInteractive((state) => state.setControlValue)
 
+  const zoneId = useViewer((s) => s.selection.zoneId)
+  const zonePolygon = useScene((s) => {
+    if (!zoneId) return null
+    const z = s.nodes[zoneId] as ZoneNode | undefined
+    return z?.polygon ?? null
+  })
+
   if (!itemObj || !controlValues || !node?.asset.interactive) return null
 
   const { controls } = node.asset.interactive
   const [, height] = node.asset.dimensions
 
+  let opacity = 0
+  let pointerEvents: 'auto' | 'none' = 'none'
+  if (zoneId && zonePolygon?.length) {
+    itemObj.getWorldPosition(_tempVec)
+    const inside = pointInPolygon(_tempVec.x, _tempVec.z, zonePolygon)
+    opacity = inside ? 1 : 0.1
+    pointerEvents = inside ? 'auto' : 'none'
+  }
 
   return createPortal(
     <Html center position={[0, height + 0.3, 0]} zIndexRange={[20, 0]} occlude distanceFactor={8}>
@@ -68,8 +88,10 @@ const ItemControlsOverlay = ({ nodeId }: { nodeId: AnyNodeId }) => {
           borderRadius: 8,
           padding: '8px 12px',
           minWidth: 120,
-          pointerEvents: 'auto',
+          pointerEvents,
           userSelect: 'none',
+          opacity,
+          transition: 'opacity 0.3s ease',
         }}
       >
         {controls.map((control, i) => (