diff --git a/packages/block-editor/src/components/iframe/content.scss b/packages/block-editor/src/components/iframe/content.scss
index 62a57030f1be11..165cf70d24a710 100644
--- a/packages/block-editor/src/components/iframe/content.scss
+++ b/packages/block-editor/src/components/iframe/content.scss
@@ -1,3 +1,7 @@
+.block-editor-iframe__body {
+	position: relative;
+}
+
 .block-editor-iframe__container {
 	width: 100%;
 	height: 100%;
diff --git a/packages/edit-post/src/components/visual-editor/index.js b/packages/edit-post/src/components/visual-editor/index.js
index 3bb50999c2a929..4200c83335293f 100644
--- a/packages/edit-post/src/components/visual-editor/index.js
+++ b/packages/edit-post/src/components/visual-editor/index.js
@@ -25,6 +25,12 @@ import { usePaddingAppender } from './use-padding-appender';
 const { EditorCanvas } = unlock( editorPrivateApis );
 
 const isGutenbergPlugin = process.env.IS_GUTENBERG_PLUGIN ? true : false;
+const DESIGN_POST_TYPES = [
+	'wp_template',
+	'wp_template_part',
+	'wp_block',
+	'wp_navigation',
+];
 
 export default function VisualEditor( { styles } ) {
 	const {
@@ -34,12 +40,15 @@ export default function VisualEditor( { styles } ) {
 		hasV3BlocksOnly,
 		isEditingTemplate,
 		isZoomedOutView,
+		postType,
 	} = useSelect( ( select ) => {
 		const { isFeatureActive } = select( editPostStore );
-		const { getEditorSettings, getRenderingMode } = select( editorStore );
+		const { getEditorSettings, getRenderingMode, getCurrentPostType } =
+			select( editorStore );
 		const { getBlockTypes } = select( blocksStore );
 		const { __unstableGetEditorMode } = select( blockEditorStore );
 		const editorSettings = getEditorSettings();
+		const _postType = getCurrentPostType();
 		return {
 			isWelcomeGuideVisible: isFeatureActive( 'welcomeGuide' ),
 			renderingMode: getRenderingMode(),
@@ -47,9 +56,9 @@ export default function VisualEditor( { styles } ) {
 			hasV3BlocksOnly: getBlockTypes().every( ( type ) => {
 				return type.apiVersion >= 3;
 			} ),
-			isEditingTemplate:
-				select( editorStore ).getCurrentPostType() === 'wp_template',
+			isEditingTemplate: _postType === 'wp_template',
 			isZoomedOutView: __unstableGetEditorMode() === 'zoom-out',
+			postType: _postType,
 		};
 	}, [] );
 	const hasMetaBoxes = useSelect(
@@ -66,7 +75,8 @@ export default function VisualEditor( { styles } ) {
 	if (
 		! isZoomedOutView &&
 		! hasMetaBoxes &&
-		renderingMode === 'post-only'
+		renderingMode === 'post-only' &&
+		! DESIGN_POST_TYPES.includes( postType )
 	) {
 		paddingBottom = '40vh';
 	}
diff --git a/packages/edit-site/src/components/block-editor/editor-canvas.js b/packages/edit-site/src/components/block-editor/editor-canvas.js
index fda722de8e6e31..39a96db09899db 100644
--- a/packages/edit-site/src/components/block-editor/editor-canvas.js
+++ b/packages/edit-site/src/components/block-editor/editor-canvas.js
@@ -113,7 +113,7 @@ function EditorCanvas( { settings, children, onClick } ) {
 				// Forming a "block formatting context" to prevent margin collapsing.
 				// @see https://developer.mozilla.org/en-US/docs/Web/Guide/CSS/Block_formatting_context
 
-				css: `body{position:relative; ${
+				css: `body{${
 					canvasMode === 'view'
 						? `min-height: 100vh; ${
 								currentPostIsTrashed ? '' : 'cursor: pointer;'