Modifying/Placing Permissions Issue

Issue: Avatar unable to move/modify objects in Water Keep with proper permissions.
Blocker: No
Reproducible: Yes
Location: Area: Brittany Estates (Novia_R3_City_Brittany_Estates) Loc: (-190.6, 47.8, -237.1)
Steps to reproduce:

1. Gave avatar kindred permissions to place/move existing objects (worked fine two days ago (10/1). Set lot permissions to allow kindred to move/place objects.
2. On 10/3 - avatar no longer able to move/place objects on water keep lot. Reviewed permissions, reset them, reset avatar lot access. No luck.
3. On 10/3 upped avatars permission to Trustee and then Co-owner for testing purposes. Avatar still not able to move/place objects on water keep lot.
4. Tested another account that had permissions to move/place objects prior to 10/1 - 10/3. Avatar with permissions pre-10/1 had no issues modifying/placing objects.