diff --git a/apps/editor/components/ui/sidebar/panels/site-panel/building-tree-node.tsx b/apps/editor/components/ui/sidebar/panels/site-panel/building-tree-node.tsx
index 51d0c65e..0c0dd617 100644
--- a/apps/editor/components/ui/sidebar/panels/site-panel/building-tree-node.tsx
+++ b/apps/editor/components/ui/sidebar/panels/site-panel/building-tree-node.tsx
@@ -1,4 +1,5 @@
 import { BuildingNode, LevelNode, useScene } from "@pascal-app/core";
+import { useViewer } from "@pascal-app/viewer";
 import { Building2, Plus } from "lucide-react";
 import { useState } from "react";
 import { TreeNode, TreeNodeWrapper } from "./tree-node";
@@ -16,9 +17,12 @@ interface BuildingTreeNodeProps {
 export function BuildingTreeNode({ node, depth }: BuildingTreeNodeProps) {
   const [expanded, setExpanded] = useState(true);
   const createNode = useScene((state) => state.createNode);
+  const isSelected = useViewer((state) => state.selection.buildingId === node.id);
+  const isHovered = useViewer((state) => state.hoveredId === node.id);
+  const setSelection = useViewer((state) => state.setSelection);
 
   const handleClick = () => {
-    // Handle building selection
+    setSelection({ buildingId: node.id });
   };
 
   const handleAddLevel = (e: React.MouseEvent) => {
@@ -40,6 +44,8 @@ export function BuildingTreeNode({ node, depth }: BuildingTreeNodeProps) {
       expanded={expanded}
       onToggle={() => setExpanded(!expanded)}
       onClick={handleClick}
+      isSelected={isSelected}
+      isHovered={isHovered}
       actions={
         <Tooltip>
           <TooltipTrigger asChild>
diff --git a/apps/editor/components/ui/sidebar/panels/site-panel/item-tree-node.tsx b/apps/editor/components/ui/sidebar/panels/site-panel/item-tree-node.tsx
index acc8877d..4eafd53b 100644
--- a/apps/editor/components/ui/sidebar/panels/site-panel/item-tree-node.tsx
+++ b/apps/editor/components/ui/sidebar/panels/site-panel/item-tree-node.tsx
@@ -1,4 +1,5 @@
 import { ItemNode } from "@pascal-app/core";
+import { useViewer } from "@pascal-app/viewer";
 import { Box } from "lucide-react";
 import { TreeNodeWrapper } from "./tree-node";
 
@@ -8,8 +9,12 @@ interface ItemTreeNodeProps {
 }
 
 export function ItemTreeNode({ node, depth }: ItemTreeNodeProps) {
+  const isSelected = useViewer((state) => state.selection.selectedIds.includes(node.id));
+  const isHovered = useViewer((state) => state.hoveredId === node.id);
+  const setSelection = useViewer((state) => state.setSelection);
+
   const handleClick = () => {
-    // Handle item selection
+    setSelection({ selectedIds: [node.id] });
   };
 
   return (
@@ -21,6 +26,8 @@ export function ItemTreeNode({ node, depth }: ItemTreeNodeProps) {
       expanded={false}
       onToggle={() => {}}
       onClick={handleClick}
+      isSelected={isSelected}
+      isHovered={isHovered}
     />
   );
 }
diff --git a/apps/editor/components/ui/sidebar/panels/site-panel/level-tree-node.tsx b/apps/editor/components/ui/sidebar/panels/site-panel/level-tree-node.tsx
index 10b135bc..120b36e8 100644
--- a/apps/editor/components/ui/sidebar/panels/site-panel/level-tree-node.tsx
+++ b/apps/editor/components/ui/sidebar/panels/site-panel/level-tree-node.tsx
@@ -11,15 +11,14 @@ interface LevelTreeNodeProps {
 
 export function LevelTreeNode({ node, depth }: LevelTreeNodeProps) {
   const [expanded, setExpanded] = useState(true);
-  const currentLevelId = useViewer((state) => state.selection.levelId);
+  const isSelected = useViewer((state) => state.selection.levelId === node.id);
+  const isHovered = useViewer((state) => state.hoveredId === node.id);
   const setSelection = useViewer((state) => state.setSelection);
 
   const handleClick = () => {
     setSelection({ levelId: node.id });
   };
 
-  const isSelected = currentLevelId === node.id;
-
   return (
     <TreeNodeWrapper
       icon={<Layers className="w-3.5 h-3.5" />}
@@ -30,6 +29,7 @@ export function LevelTreeNode({ node, depth }: LevelTreeNodeProps) {
       onToggle={() => setExpanded(!expanded)}
       onClick={handleClick}
       isSelected={isSelected}
+      isHovered={isHovered}
     >
       {node.children.map((childId) => (
         <TreeNode key={childId} nodeId={childId} depth={depth + 1} />
diff --git a/apps/editor/components/ui/sidebar/panels/site-panel/tree-node.tsx b/apps/editor/components/ui/sidebar/panels/site-panel/tree-node.tsx
index fe12921b..b5d7cbd0 100644
--- a/apps/editor/components/ui/sidebar/panels/site-panel/tree-node.tsx
+++ b/apps/editor/components/ui/sidebar/panels/site-panel/tree-node.tsx
@@ -41,6 +41,7 @@ interface TreeNodeWrapperProps {
   actions?: React.ReactNode;
   children?: React.ReactNode;
   isSelected?: boolean;
+  isHovered?: boolean;
 }
 
 export function TreeNodeWrapper({
@@ -54,6 +55,7 @@ export function TreeNodeWrapper({
   actions,
   children,
   isSelected,
+  isHovered,
 }: TreeNodeWrapperProps) {
   return (
     <div>
@@ -61,7 +63,11 @@ export function TreeNodeWrapper({
         className={cn(
           "flex items-center h-7 hover:bg-accent/50 cursor-pointer group",
           "text-sm",
-          isSelected ? "text-primary-foreground bg-primary/80" : "text-muted-foreground"
+          isSelected
+            ? "text-primary-foreground bg-primary/80"
+            : isHovered
+              ? "bg-accent/70 text-foreground"
+              : "text-muted-foreground"
         )}
         style={{ paddingLeft: depth * 12 + 4 }}
       >
diff --git a/apps/editor/components/ui/sidebar/panels/site-panel/wall-tree-node.tsx b/apps/editor/components/ui/sidebar/panels/site-panel/wall-tree-node.tsx
index 72d67938..ac95d98b 100644
--- a/apps/editor/components/ui/sidebar/panels/site-panel/wall-tree-node.tsx
+++ b/apps/editor/components/ui/sidebar/panels/site-panel/wall-tree-node.tsx
@@ -1,4 +1,5 @@
-import { WallNode, useScene } from "@pascal-app/core";
+import { WallNode } from "@pascal-app/core";
+import { useViewer } from "@pascal-app/viewer";
 import { Square } from "lucide-react";
 import { useState } from "react";
 import { TreeNode, TreeNodeWrapper } from "./tree-node";
@@ -10,10 +11,12 @@ interface WallTreeNodeProps {
 
 export function WallTreeNode({ node, depth }: WallTreeNodeProps) {
   const [expanded, setExpanded] = useState(false);
+  const isSelected = useViewer((state) => state.selection.selectedIds.includes(node.id));
+  const isHovered = useViewer((state) => state.hoveredId === node.id);
+  const setSelection = useViewer((state) => state.setSelection);
 
   const handleClick = () => {
-    // Handle wall selection
-    useScene.getState().markDirty(node.id);
+    setSelection({ selectedIds: [node.id] });
   };
 
   const wallLength = Math.sqrt(
@@ -30,6 +33,8 @@ export function WallTreeNode({ node, depth }: WallTreeNodeProps) {
       expanded={expanded}
       onToggle={() => setExpanded(!expanded)}
       onClick={handleClick}
+      isSelected={isSelected}
+      isHovered={isHovered}
     >
       {node.children.map((childId) => (
         <TreeNode key={childId} nodeId={childId} depth={depth + 1} />