diff --git a/public/app/features/dashboard-scene/panel-edit/PanelDataPane/PanelDataPane.tsx b/public/app/features/dashboard-scene/panel-edit/PanelDataPane/PanelDataPane.tsx
index 9d44e50e689..66a5c9816f5 100644
--- a/public/app/features/dashboard-scene/panel-edit/PanelDataPane/PanelDataPane.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/PanelDataPane/PanelDataPane.tsx
@@ -144,7 +144,7 @@ function PanelDataPaneRendered({ model }: SceneComponentProps<PanelDataPane>) {
   const currentTab = tabs.find((t) => t.tabId === tab);
 
   return (
-    <>
+    <div className={styles.dataPane}>
       <TabsBar hideBorder={true} className={styles.tabsBar}>
         {tabs.map((t, index) => {
           return (
@@ -161,12 +161,19 @@ function PanelDataPaneRendered({ model }: SceneComponentProps<PanelDataPane>) {
           <Container>{currentTab && <currentTab.Component model={currentTab} />}</Container>
         </TabContent>
       </CustomScrollbar>
-    </>
+    </div>
   );
 }
 
 function getStyles(theme: GrafanaTheme2) {
   return {
+    dataPane: css({
+      display: 'flex',
+      flexDirection: 'column',
+      flexGrow: 1,
+      minHeight: 0,
+      height: '100%',
+    }),
     tabContent: css({
       padding: theme.spacing(2),
       border: `1px solid ${theme.colors.border.weak}`,
diff --git a/public/app/features/dashboard-scene/panel-edit/PanelEditor.test.ts b/public/app/features/dashboard-scene/panel-edit/PanelEditor.test.ts
index 874d24c2257..d2f1261a4e6 100644
--- a/public/app/features/dashboard-scene/panel-edit/PanelEditor.test.ts
+++ b/public/app/features/dashboard-scene/panel-edit/PanelEditor.test.ts
@@ -1,10 +1,9 @@
 import { PanelPlugin, PanelPluginMeta, PluginType } from '@grafana/data';
-import { SceneFlexItem, SceneGridItem, SceneGridLayout, SplitLayout, VizPanel } from '@grafana/scenes';
+import { SceneGridItem, SceneGridLayout, VizPanel } from '@grafana/scenes';
 
 import { DashboardScene } from '../scene/DashboardScene';
 import { activateFullSceneTree } from '../utils/test-utils';
 
-import { PanelDataPane } from './PanelDataPane/PanelDataPane';
 import { buildPanelEditScene } from './PanelEditor';
 
 let pluginToLoad: PanelPlugin | undefined;
@@ -47,8 +46,7 @@ describe('PanelEditor', () => {
 
       const deactivate = activateFullSceneTree(scene);
 
-      const vizManager = editScene.state.panelRef.resolve();
-      vizManager.state.panel.setState({ title: 'changed title' });
+      editScene.state.vizManager.state.panel.setState({ title: 'changed title' });
 
       deactivate();
 
@@ -72,7 +70,7 @@ describe('PanelEditor', () => {
 
       activateFullSceneTree(scene);
 
-      expect(((editScene.state.body as SplitLayout).state.primary as SplitLayout).state.secondary).toBeUndefined();
+      expect(editScene.state.dataPane).toBeUndefined();
     });
 
     it('should exist if panel is supporting querying', () => {
@@ -88,10 +86,7 @@ describe('PanelEditor', () => {
       });
 
       activateFullSceneTree(scene);
-      const secondaryPane = ((editScene.state.body as SplitLayout).state.primary as SplitLayout).state.secondary;
-
-      expect(secondaryPane).toBeInstanceOf(SceneFlexItem);
-      expect((secondaryPane as SceneFlexItem).state.body).toBeInstanceOf(PanelDataPane);
+      expect(editScene.state.dataPane).toBeDefined();
     });
   });
 });
diff --git a/public/app/features/dashboard-scene/panel-edit/PanelEditor.tsx b/public/app/features/dashboard-scene/panel-edit/PanelEditor.tsx
index e7e22365769..e88c5c3f28f 100644
--- a/public/app/features/dashboard-scene/panel-edit/PanelEditor.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/PanelEditor.tsx
@@ -2,17 +2,7 @@ import * as H from 'history';
 
 import { NavIndex } from '@grafana/data';
 import { config, locationService } from '@grafana/runtime';
-import {
-  SceneFlexItem,
-  SceneFlexLayout,
-  SceneGridItem,
-  SceneObject,
-  SceneObjectBase,
-  SceneObjectRef,
-  SceneObjectState,
-  SplitLayout,
-  VizPanel,
-} from '@grafana/scenes';
+import { SceneGridItem, SceneObject, SceneObjectBase, SceneObjectState, VizPanel } from '@grafana/scenes';
 
 import {
   findVizPanelByKey,
@@ -27,11 +17,12 @@ import { PanelOptionsPane } from './PanelOptionsPane';
 import { VizPanelManager } from './VizPanelManager';
 
 export interface PanelEditorState extends SceneObjectState {
-  body: SceneObject;
   controls?: SceneObject[];
   isDirty?: boolean;
   panelId: number;
-  panelRef: SceneObjectRef<VizPanelManager>;
+  optionsPane?: PanelOptionsPane;
+  dataPane?: PanelDataPane;
+  vizManager: VizPanelManager;
 }
 
 export class PanelEditor extends SceneObjectBase<PanelEditorState> {
@@ -42,14 +33,41 @@ export class PanelEditor extends SceneObjectBase<PanelEditorState> {
   public constructor(state: PanelEditorState) {
     super(state);
 
-    this.addActivationHandler(() => {
-      return () => {
-        if (!this._discardChanges) {
-          this.commitChanges();
-        }
-      };
-    });
+    this.addActivationHandler(this._activationHandler.bind(this));
   }
+
+  private _activationHandler() {
+    const panelManager = this.state.vizManager;
+    const panel = panelManager.state.panel;
+
+    this._subs.add(
+      panelManager.subscribeToState((n, p) => {
+        if (n.panel.state.pluginId !== p.panel.state.pluginId) {
+          this._initDataPane(n.panel.state.pluginId);
+        }
+      })
+    );
+
+    this._initDataPane(panel.state.pluginId);
+
+    return () => {
+      if (!this._discardChanges) {
+        this.commitChanges();
+      }
+    };
+  }
+
+  private _initDataPane(pluginId: string) {
+    const skipDataQuery = config.panels[pluginId].skipDataQuery;
+
+    if (!skipDataQuery && !this.state.dataPane) {
+      this.setState({ dataPane: new PanelDataPane(this.state.vizManager) });
+    } else if (this.state.dataPane) {
+      locationService.partial({ tab: null }, true);
+      this.setState({ dataPane: undefined });
+    }
+  }
+
   public getUrlKey() {
     return this.state.panelId.toString();
   }
@@ -76,10 +94,20 @@ export class PanelEditor extends SceneObjectBase<PanelEditorState> {
       dashboard.onEnterEditMode();
     }
 
-    const panelMngr = this.state.panelRef.resolve();
-
     if (sourcePanel!.parent instanceof SceneGridItem) {
-      sourcePanel!.parent.setState({ body: panelMngr.state.panel.clone() });
+      sourcePanel!.parent.setState({ body: this.state.vizManager.state.panel.clone() });
+    }
+  }
+
+  public toggleOptionsPane(withOpenVizPicker?: boolean) {
+    if (this.state.optionsPane) {
+      this.setState({ optionsPane: undefined });
+    } else {
+      this.setState({
+        optionsPane: new PanelOptionsPane({
+          isVizPickerOpen: withOpenVizPicker,
+        }),
+      });
     }
   }
 }
@@ -90,78 +118,7 @@ export function buildPanelEditScene(panel: VizPanel): PanelEditor {
 
   return new PanelEditor({
     panelId: getPanelIdForVizPanel(panel),
-    panelRef: vizPanelMgr.getRef(),
-    body: new SplitLayout({
-      direction: 'row',
-      initialSize: 0.75,
-      primary: new SplitLayout({
-        direction: 'column',
-        $behaviors: [conditionalDataPaneBehavior],
-        primary: new SceneFlexLayout({
-          direction: 'column',
-          minHeight: 200,
-          children: [vizPanelMgr],
-        }),
-        primaryPaneStyles: {
-          minHeight: 0,
-          overflow: 'hidden',
-        },
-        secondaryPaneStyles: {
-          minHeight: 0,
-        },
-      }),
-      secondary: new SceneFlexItem({
-        body: new PanelOptionsPane(vizPanelMgr),
-        width: '100%',
-      }),
-      primaryPaneStyles: {
-        minWidth: '0',
-      },
-      secondaryPaneStyles: {
-        minWidth: '0',
-      },
-    }),
+    optionsPane: new PanelOptionsPane({}),
+    vizManager: vizPanelMgr,
   });
 }
-
-// This function is used to conditionally add the data pane to the panel editor,
-// depending on the type of a panel being edited.
-function conditionalDataPaneBehavior(scene: SplitLayout) {
-  const dashboard = getDashboardSceneFor(scene);
-
-  const editor = dashboard.state.editPanel;
-
-  if (!editor) {
-    return;
-  }
-
-  const panelManager = editor.state.panelRef.resolve();
-  const panel = panelManager.state.panel;
-
-  const getDataPane = () =>
-    new SceneFlexItem({
-      body: new PanelDataPane(panelManager),
-    });
-
-  if (!config.panels[panel.state.pluginId].skipDataQuery) {
-    scene.setState({
-      secondary: getDataPane(),
-    });
-  }
-
-  const sub = panelManager.subscribeToState((n, p) => {
-    const hadDataSupport = !config.panels[p.panel.state.pluginId].skipDataQuery;
-    const willHaveDataSupport = !config.panels[n.panel.state.pluginId].skipDataQuery;
-
-    if (hadDataSupport && !willHaveDataSupport) {
-      locationService.partial({ tab: null }, true);
-      scene.setState({ secondary: undefined });
-    } else if (!hadDataSupport && willHaveDataSupport) {
-      scene.setState({ secondary: getDataPane() });
-    }
-  });
-
-  return () => {
-    sub.unsubscribe();
-  };
-}
diff --git a/public/app/features/dashboard-scene/panel-edit/PanelEditorRenderer.tsx b/public/app/features/dashboard-scene/panel-edit/PanelEditorRenderer.tsx
index f3ab6279ef2..8316b8b2ac9 100644
--- a/public/app/features/dashboard-scene/panel-edit/PanelEditorRenderer.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/PanelEditorRenderer.tsx
@@ -3,16 +3,17 @@ import React from 'react';
 
 import { GrafanaTheme2 } from '@grafana/data';
 import { SceneComponentProps } from '@grafana/scenes';
-import { useStyles2 } from '@grafana/ui';
+import { Splitter, useStyles2 } from '@grafana/ui';
 
 import { NavToolbarActions } from '../scene/NavToolbarActions';
 import { getDashboardSceneFor } from '../utils/utils';
 
 import { PanelEditor } from './PanelEditor';
+import { VisualizationButton } from './PanelOptionsPane';
 
 export function PanelEditorRenderer({ model }: SceneComponentProps<PanelEditor>) {
   const dashboard = getDashboardSceneFor(model);
-  const { body } = model.useState();
+  const { optionsPane, vizManager, dataPane } = model.useState();
   const { controls } = dashboard.useState();
   const styles = useStyles2(getStyles);
 
@@ -25,10 +26,34 @@ export function PanelEditorRenderer({ model }: SceneComponentProps<PanelEditor>)
             {controls.map((control) => (
               <control.Component key={control.state.key} model={control} />
             ))}
+            {!optionsPane && (
+              <VisualizationButton
+                pluginId={vizManager.state.panel.state.pluginId}
+                onOpen={() => model.toggleOptionsPane(true)}
+                isOpen={false}
+                onTogglePane={() => model.toggleOptionsPane()}
+              />
+            )}
           </div>
         )}
         <div className={styles.body}>
-          <body.Component model={body} />
+          <Splitter
+            direction="row"
+            dragPosition="end"
+            initialSize={0.75}
+            primaryPaneStyles={{ paddingBottom: !dataPane ? 16 : 0 }}
+          >
+            <Splitter
+              direction="column"
+              primaryPaneStyles={{ minHeight: 0, paddingRight: !optionsPane ? 16 : 0 }}
+              secondaryPaneStyles={{ minHeight: 0, overflow: 'hidden' }}
+              dragPosition="start"
+            >
+              <vizManager.Component model={vizManager} />
+              {dataPane && <dataPane.Component model={dataPane} />}
+            </Splitter>
+            {optionsPane && <optionsPane.Component model={optionsPane} />}
+          </Splitter>
         </div>
       </div>
     </>
diff --git a/public/app/features/dashboard-scene/panel-edit/PanelOptionsPane.tsx b/public/app/features/dashboard-scene/panel-edit/PanelOptionsPane.tsx
index b73fd69f04b..a1da35bb3c4 100644
--- a/public/app/features/dashboard-scene/panel-edit/PanelOptionsPane.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/PanelOptionsPane.tsx
@@ -11,8 +11,8 @@ import { getPanelFrameCategory2 } from 'app/features/dashboard/components/PanelE
 import { getVisualizationOptions2 } from 'app/features/dashboard/components/PanelEditor/getVisualizationOptions';
 import { getAllPanelPluginMeta } from 'app/features/panel/state/util';
 
+import { PanelEditor } from './PanelEditor';
 import { PanelVizTypePicker } from './PanelVizTypePicker';
-import { VizPanelManager } from './VizPanelManager';
 
 export interface PanelOptionsPaneState extends SceneObjectState {
   isVizPickerOpen?: boolean;
@@ -21,15 +21,16 @@ export interface PanelOptionsPaneState extends SceneObjectState {
 }
 
 export class PanelOptionsPane extends SceneObjectBase<PanelOptionsPaneState> {
-  public panelManager: VizPanelManager;
-
-  public constructor(panelMgr: VizPanelManager) {
+  public constructor(state: Partial<PanelOptionsPaneState>) {
     super({
       searchQuery: '',
       listMode: OptionFilter.All,
+      ...state,
     });
+  }
 
-    this.panelManager = panelMgr;
+  public getVizManager() {
+    return sceneGraph.getAncestor(this, PanelEditor).state.vizManager;
   }
 
   onToggleVizPicker = () => {
@@ -44,11 +45,14 @@ export class PanelOptionsPane extends SceneObjectBase<PanelOptionsPaneState> {
     this.setState({ listMode });
   };
 
-  onCollapsePane = () => {};
+  onCollapsePane = () => {
+    const editor = sceneGraph.getAncestor(this, PanelEditor);
+    editor.toggleOptionsPane();
+  };
 
   static Component = ({ model }: SceneComponentProps<PanelOptionsPane>) => {
     const { isVizPickerOpen, searchQuery, listMode } = model.useState();
-    const { panelManager } = model;
+    const panelManager = model.getVizManager();
     const { panel } = panelManager.state;
     const dataObject = sceneGraph.getData(panel);
     const { data } = dataObject.useState();
diff --git a/public/app/features/dashboard-scene/panel-edit/VizPanelManager.test.tsx b/public/app/features/dashboard-scene/panel-edit/VizPanelManager.test.tsx
index c9eab250ced..1048d4a0d0e 100644
--- a/public/app/features/dashboard-scene/panel-edit/VizPanelManager.test.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/VizPanelManager.test.tsx
@@ -506,11 +506,9 @@ describe('VizPanelManager', () => {
   describe('change transformations', () => {
     it('should update and reprocess transformations', () => {
       const { scene, panel } = setupTest('panel-3');
-      scene.setState({
-        editPanel: buildPanelEditScene(panel),
-      });
+      scene.setState({ editPanel: buildPanelEditScene(panel) });
 
-      const vizPanelManager = scene.state.editPanel!.state.panelRef.resolve();
+      const vizPanelManager = scene.state.editPanel!.state.vizManager;
       vizPanelManager.activate();
       vizPanelManager.state.panel.state.$data?.activate();
 
@@ -560,11 +558,9 @@ describe('VizPanelManager', () => {
     describe('dashboard queries', () => {
       it('should update queries', () => {
         const { scene, panel } = setupTest('panel-3');
-        scene.setState({
-          editPanel: buildPanelEditScene(panel),
-        });
+        scene.setState({ editPanel: buildPanelEditScene(panel) });
 
-        const vizPanelManager = scene.state.editPanel!.state.panelRef.resolve();
+        const vizPanelManager = scene.state.editPanel!.state.vizManager;
         vizPanelManager.activate();
         vizPanelManager.state.panel.state.$data?.activate();
 
@@ -578,6 +574,7 @@ describe('VizPanelManager', () => {
             panelId: panelWithTransformations.id,
           },
         ]);
+
         expect(vizPanelManager.panelData).toBeInstanceOf(SceneDataTransformer);
         expect(vizPanelManager.queryRunner.state.queries[0].panelId).toEqual(panelWithTransformations.id);
 
diff --git a/public/app/features/dashboard-scene/saving/getSaveDashboardChange.test.ts b/public/app/features/dashboard-scene/saving/getSaveDashboardChange.test.ts
index 3c4b5577ed4..553d2bc0683 100644
--- a/public/app/features/dashboard-scene/saving/getSaveDashboardChange.test.ts
+++ b/public/app/features/dashboard-scene/saving/getSaveDashboardChange.test.ts
@@ -71,8 +71,7 @@ describe('getSaveDashboardChange', () => {
       dashboard.onEnterEditMode();
       dashboard.setState({ editPanel: editScene });
 
-      const vizManager = editScene.state.panelRef.resolve();
-      vizManager.state.panel.setState({ title: 'changed title' });
+      editScene.state.vizManager.state.panel.setState({ title: 'changed title' });
 
       const result = getSaveDashboardChange(dashboard, false, true);
       const panelSaveModel = result.changedSaveModel.panels![0];
diff --git a/public/app/features/dashboard-scene/scene/DashboardSceneUrlSync.ts b/public/app/features/dashboard-scene/scene/DashboardSceneUrlSync.ts
index 406a844abe5..5b922de6bc3 100644
--- a/public/app/features/dashboard-scene/scene/DashboardSceneUrlSync.ts
+++ b/public/app/features/dashboard-scene/scene/DashboardSceneUrlSync.ts
@@ -147,7 +147,7 @@ class ResolveInspectPanelByKey extends SceneObjectBase<ResolveInspectPanelByKeyS
     let panel = findVizPanelByKey(dashboard, panelId);
 
     if (dashboard.state.editPanel) {
-      panel = dashboard.state.editPanel.state.panelRef.resolve().state.panel;
+      panel = dashboard.state.editPanel.state.vizManager.state.panel;
     }
 
     if (dashboard.state.viewPanelScene && dashboard.state.viewPanelScene.state.body) {