diff --git a/ChairManager/Data/Preditor/ActionSets.xml b/ChairManager/Data/Preditor/ActionSets.xml
index c6d445545..05387e2c9 100644
--- a/ChairManager/Data/Preditor/ActionSets.xml
+++ b/ChairManager/Data/Preditor/ActionSets.xml
@@ -58,6 +58,9 @@
         name="transform_tools"
         description="Transform Tools"
         priority="60">
+        <Action name="toggle_pivot" description="Toggle tool pivot between origin and center">
+            <Bind key="z"/>
+        </Action>
         <Action name="toggle_tool_space" description="Toggle tool space between local and world">
             <Bind key="x"/>
         </Action>
diff --git a/Preditor/Common/Preditor/SceneEditor/IObjectManipulator.h b/Preditor/Common/Preditor/SceneEditor/IObjectManipulator.h
index e1e697be8..6663d1682 100644
--- a/Preditor/Common/Preditor/SceneEditor/IObjectManipulator.h
+++ b/Preditor/Common/Preditor/SceneEditor/IObjectManipulator.h
@@ -10,4 +10,7 @@ struct IObjectManipulator
 
     //! Sets an object's world translation matrix.
     virtual void SetObjectWorldTM(SceneObjectId id, const Matrix34& tm) = 0;
+
+    //! Gets the object's local-space bounding box.
+    virtual void GetObjectLocalBounds(SceneObjectId id, AABB& aabb) = 0;
 };
diff --git a/Preditor/EditTools/EditToolManager.cpp b/Preditor/EditTools/EditToolManager.cpp
index 0a95f4258..f50b51fba 100644
--- a/Preditor/EditTools/EditToolManager.cpp
+++ b/Preditor/EditTools/EditToolManager.cpp
@@ -23,6 +23,12 @@ EditTools::EditToolManager::EditToolManager(ISceneEditor* pEditor)
     RegisterToolSelectKey("rotate", m_pRotateTool);
     RegisterToolSelectKey("scale", m_pScaleTool);
 
+    gPreditor->pInput->FindAction("transform_tools.toggle_pivot")->AddListener([this](const KeyActionEventArgs& e)
+        {
+            if (e.isPressed)
+                m_bPivotCenter ^= 1;
+        });
+
     gPreditor->pInput->FindAction("transform_tools.toggle_tool_space")->AddListener([this](const KeyActionEventArgs& e)
         {
             if (e.isPressed)
@@ -39,6 +45,10 @@ EditTools::EditToolManager::~EditToolManager()
 
 void EditTools::EditToolManager::ShowSelectionUI()
 {
+    if (ImGui::Button(m_bPivotCenter ? ICON_MD_CENTER_FOCUS_WEAK : ICON_MD_TRIP_ORIGIN))
+        m_bPivotCenter ^= 1;
+    ImGui::SameLine();
+
     if (ImGui::Button(m_bWorldTransform ? ICON_MD_LANGUAGE : ICON_MD_VIEW_IN_AR))
         m_bWorldTransform ^= 1;
     ImGui::SameLine();
diff --git a/Preditor/EditTools/EditToolManager.h b/Preditor/EditTools/EditToolManager.h
index ec77ceea0..a7fbedbce 100644
--- a/Preditor/EditTools/EditToolManager.h
+++ b/Preditor/EditTools/EditToolManager.h
@@ -18,6 +18,9 @@ class EditToolManager final : public IEditToolManager
     //! @returns the current tool (or nullptr, if none).
     EditTool* GetCurrentTool() const { return m_pCurTool; }
 
+    //! @returns whether transformation tools should pivot around the center instead of local origin.
+    bool IsPivotCenter() const { return m_bPivotCenter; }
+
     //! @returns whether transformation tools should tranform in the world space.
     bool IsWorldTransform() const { return m_bWorldTransform; }
 
@@ -33,7 +36,8 @@ class EditToolManager final : public IEditToolManager
     bool m_bIsActive = false;
     ISceneEditor* m_pEditor = nullptr;
     EditTool* m_pCurTool = nullptr;
-    bool m_bWorldTransform = true;
+    bool m_bPivotCenter = true;
+    bool m_bWorldTransform = false;
 
     std::unique_ptr<EditTool> m_pSelectTool;
     std::unique_ptr<EditTool> m_pMoveTool;
diff --git a/Preditor/EditTools/ImGuizmoTool.cpp b/Preditor/EditTools/ImGuizmoTool.cpp
index c28d86229..de7356117 100644
--- a/Preditor/EditTools/ImGuizmoTool.cpp
+++ b/Preditor/EditTools/ImGuizmoTool.cpp
@@ -106,8 +106,18 @@ void EditTools::ImGuizmoTool::DrawViewport(const Vec4& bounds, const CCamera& ca
     if (activeObj != INVALID_SCENE_OBJECT)
     {
         IObjectManipulator* pManip = pEditor->GetManipulator();
+        Matrix44 pivotTransform(IDENTITY);
+
+        if (GetManager()->IsPivotCenter())
+        {
+            // Get AABB center
+            AABB aabb;
+            pManip->GetObjectLocalBounds(activeObj, aabb);
+            pivotTransform.SetTranslation(aabb.GetCenter());
+        }
+
         Matrix44 viewMat = CryToImGuizmo(camera.GetViewMatrix());
-        Matrix44 objectTM = CryToImGuizmo(pManip->GetObjectWorldTM(activeObj));
+        Matrix44 objectTM = CryToImGuizmo(pManip->GetObjectWorldTM(activeObj) * pivotTransform);
 
         Matrix44 projMat;
         FrustumFromCamera(camera, bounds.z - bounds.x, bounds.w - bounds.y, projMat.GetData());
@@ -119,10 +129,10 @@ void EditTools::ImGuizmoTool::DrawViewport(const Vec4& bounds, const CCamera& ca
             GetManager()->IsWorldTransform() ? ImGuizmo::WORLD : ImGuizmo::LOCAL,
             objectTM.GetData(),
             nullptr, // deltaMatrix
-            m_pSnapKey->IsHeldDown() ? & m_Snap.x : nullptr);
+            m_pSnapKey->IsHeldDown() ? &m_Snap.x : nullptr);
 
         if (manipulated)
-            pManip->SetObjectWorldTM(activeObj, Matrix34(ImGuizmoToCry(objectTM)));
+            pManip->SetObjectWorldTM(activeObj, Matrix34(ImGuizmoToCry(objectTM) * pivotTransform.GetInverted()));
     }
 }
 
diff --git a/Preditor/GameEditor/EntityManipulator.cpp b/Preditor/GameEditor/EntityManipulator.cpp
index 09b5084e0..c0f0f3e6c 100644
--- a/Preditor/GameEditor/EntityManipulator.cpp
+++ b/Preditor/GameEditor/EntityManipulator.cpp
@@ -34,3 +34,16 @@ void GameEditor::EntityManipulator::SetObjectWorldTM(SceneObjectId id, const Mat
 
     pEnt->SetWorldTM(tm, ENTITY_XFORM_EDITOR);
 }
+
+void GameEditor::EntityManipulator::GetObjectLocalBounds(SceneObjectId id, AABB& aabb)
+{
+    IEntity* pEnt = gEnv->pEntitySystem->GetEntity((EntityId)id);
+
+    if (!pEnt)
+    {
+        CryError("GetObjectLocalBounds called with invalid entity id {}", id);
+        return;
+    }
+
+    pEnt->GetLocalBounds(aabb);
+}
diff --git a/Preditor/GameEditor/EntityManipulator.h b/Preditor/GameEditor/EntityManipulator.h
index f671bed01..6adf3aa75 100644
--- a/Preditor/GameEditor/EntityManipulator.h
+++ b/Preditor/GameEditor/EntityManipulator.h
@@ -16,6 +16,7 @@ class EntityManipulator : public IObjectManipulator
     // IObjectManipulator
     virtual Matrix34 GetObjectWorldTM(SceneObjectId id) override;
     virtual void SetObjectWorldTM(SceneObjectId id, const Matrix34& tm) override;
+    virtual void GetObjectLocalBounds(SceneObjectId id, AABB& aabb) override;
 
 private:
     GameEditMode* m_pEditor = nullptr;