diff --git a/apps/remix-ide/src/app/panels/file-panel.js b/apps/remix-ide/src/app/panels/file-panel.js
index 893ec084f9..5628425b34 100644
--- a/apps/remix-ide/src/app/panels/file-panel.js
+++ b/apps/remix-ide/src/app/panels/file-panel.js
@@ -209,11 +209,13 @@ module.exports = class Filepanel extends ViewPlugin {
       workspaceProvider.setWorkspace(workspaceName)
       await this.request.setWorkspace(workspaceName) // tells the react component to switch to that workspace
       for (const file in examples) {
-        try {
-          await workspaceProvider.set(examples[file].name, examples[file].content)
-        } catch (error) {
-          console.error(error)
-        }
+        setTimeout(async () => { // space creation of files to give react ui time to update.
+          try {
+            await workspaceProvider.set(examples[file].name, examples[file].content)
+          } catch (error) {
+            console.error(error)
+          }
+        }, 200)
       }
     }
   }
diff --git a/libs/remix-ui/file-explorer/src/lib/actions/fileSystem.ts b/libs/remix-ui/file-explorer/src/lib/actions/fileSystem.ts
index eb0303e45d..c9b00bb099 100644
--- a/libs/remix-ui/file-explorer/src/lib/actions/fileSystem.ts
+++ b/libs/remix-ui/file-explorer/src/lib/actions/fileSystem.ts
@@ -182,7 +182,7 @@ export const fileRenamedSuccess = (path: string, removePath: string, files) => {
 export const init = (provider, workspaceName: string, plugin, registry) => (dispatch: React.Dispatch<any>) => {
   if (provider) {
     provider.event.register('fileAdded', async (filePath) => {
-      const path = extractParentFromKey(filePath) || workspaceName
+      const path = extractParentFromKey(filePath) ? extractParentFromKey(filePath) === '/.workspaces' ? workspaceName : extractParentFromKey(filePath) : workspaceName
       const data = await fetchDirectoryContent(provider, path)
 
       dispatch(fileAddedSuccess(path, data))
@@ -191,7 +191,7 @@ export const init = (provider, workspaceName: string, plugin, registry) => (disp
       }
     })
     provider.event.register('folderAdded', async (folderPath) => {
-      const path = extractParentFromKey(folderPath) || workspaceName
+      const path = extractParentFromKey(folderPath) ? extractParentFromKey(folderPath) === '/.workspaces' ? workspaceName : extractParentFromKey(folderPath) : workspaceName
       const data = await fetchDirectoryContent(provider, path)
 
       dispatch(folderAddedSuccess(path, data))