Took a good look in the code and I'm pretty sure the culprit here is within the function "load_level_editor_prefab()".
If I comment out the section "Normalize stuff around (0,0,0)", the paths are now generated in the correct place alongside in relation to the rest of the geometry.
Granted, now the cursor marker's position and size is a bit wrong, but I think that should be an easy fix... 🤔