Really bad lag is because of some conflict the game is trying to resolve with you building something you shouldn’t. Back in the day for me it was because of interior furnishings I would build like furnaces in every room, water stills everywhere, etc. I had a mansion where I couldn’t even walk anymore it was so bad. But I destroyed all that stuff and left the building alone and all the lag went away! I think that it does depend on the system you are running. On my original XboxOne, I had some big builds and amassed huge amounts of materials, and had the Frame Rate drop, but the Series X has no problems running anything, no matter how big. Now it happened to me again the other day because of the shelving glitch. I have old shelves on my raft that I only use when going to other islands, but any crates need to be removed before save/exit otherwise we all know what happens. Well I didn’t know this also happens on land, and I built three crate shelves on my helipad (watch my gameplay clip) which was fine until I saved/exited and returned to crazy lag and drop in Frame Rate. Once again, I destroyed the shelves and game returned to normal. I have always wondered when people say the have too many materials, what does that mean? I don’t think it has anything to do with your stockpile, but other things the game is trying to reconcile!
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