diff --git a/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/services/workspace-entity-migration-builder.service.ts b/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/services/workspace-entity-migration-builder.service.ts
index fe3c167847..4d1c16da83 100644
--- a/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/services/workspace-entity-migration-builder.service.ts
+++ b/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/services/workspace-entity-migration-builder.service.ts
@@ -208,6 +208,7 @@ export abstract class WorkspaceEntityMigrationBuilderService<
         buildOptions,
         additionalCacheDataMaps,
         universalIdentifier: flatEntityToUpdateUniversalIdentifier,
+        remainingFlatEntityMapsToValidate: createdFlatEntityMaps,
       });
 
       if (validationResult.status === 'fail') {
diff --git a/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/types/universal-flat-entity-update-validation-args.type.ts b/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/types/universal-flat-entity-update-validation-args.type.ts
index d1cf1a5560..005da4ecd0 100644
--- a/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/types/universal-flat-entity-update-validation-args.type.ts
+++ b/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/types/universal-flat-entity-update-validation-args.type.ts
@@ -5,7 +5,7 @@ import { type UniversalFlatEntityValidationArgs } from 'src/engine/workspace-man
 
 export type FlatEntityUpdateValidationArgs<T extends AllMetadataName> = Omit<
   UniversalFlatEntityValidationArgs<T>,
-  'flatEntityToValidate' | 'remainingFlatEntityMapsToValidate'
+  'flatEntityToValidate'
 > & {
   flatEntityUpdate: UniversalFlatEntityUpdate<T>;
   universalIdentifier: string;
diff --git a/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/validators/services/flat-navigation-menu-item-validator.service.ts b/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/validators/services/flat-navigation-menu-item-validator.service.ts
index 5972799eae..135119e99f 100644
--- a/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/validators/services/flat-navigation-menu-item-validator.service.ts
+++ b/packages/twenty-server/src/engine/workspace-manager/workspace-migration/workspace-migration-builder/validators/services/flat-navigation-menu-item-validator.service.ts
@@ -284,6 +284,7 @@ export class FlatNavigationMenuItemValidatorService {
     optimisticFlatEntityMapsAndRelatedFlatEntityMaps: {
       flatNavigationMenuItemMaps: optimisticFlatNavigationMenuItemMaps,
     },
+    remainingFlatEntityMapsToValidate,
   }: FlatEntityUpdateValidationArgs<
     typeof ALL_METADATA_NAME.navigationMenuItem
   >): FailedFlatEntityValidation<'navigationMenuItem', 'update'> {
@@ -352,12 +353,21 @@ export class FlatNavigationMenuItemValidatorService {
 
     const newFolderUniversalIdentifier = folderUniversalIdentifierUpdate;
 
+    const combinedFlatNavigationMenuItemMaps: MetadataUniversalFlatEntityMaps<
+      typeof ALL_METADATA_NAME.navigationMenuItem
+    > = {
+      byUniversalIdentifier: {
+        ...remainingFlatEntityMapsToValidate.byUniversalIdentifier,
+        ...optimisticFlatNavigationMenuItemMaps.byUniversalIdentifier,
+      },
+    };
+
     const circularDependencyErrors = this.getCircularDependencyValidationErrors(
       {
         navigationMenuItemUniversalIdentifier:
           fromFlatNavigationMenuItem.universalIdentifier,
         folderUniversalIdentifier: newFolderUniversalIdentifier,
-        flatNavigationMenuItemMaps: optimisticFlatNavigationMenuItemMaps,
+        flatNavigationMenuItemMaps: combinedFlatNavigationMenuItemMaps,
       },
     );
 
@@ -368,7 +378,7 @@ export class FlatNavigationMenuItemValidatorService {
     const referencedParentNavigationMenuItem =
       findFlatEntityByUniversalIdentifier({
         universalIdentifier: newFolderUniversalIdentifier,
-        flatEntityMaps: optimisticFlatNavigationMenuItemMaps,
+        flatEntityMaps: combinedFlatNavigationMenuItemMaps,
       });
 
     if (!isDefined(referencedParentNavigationMenuItem)) {
diff --git a/packages/twenty-server/test/integration/metadata/suites/application/successful-manifest-update-navigation-menu-item.integration-spec.ts b/packages/twenty-server/test/integration/metadata/suites/application/successful-manifest-update-navigation-menu-item.integration-spec.ts
index 51e32946c0..2a4eff55bd 100644
--- a/packages/twenty-server/test/integration/metadata/suites/application/successful-manifest-update-navigation-menu-item.integration-spec.ts
+++ b/packages/twenty-server/test/integration/metadata/suites/application/successful-manifest-update-navigation-menu-item.integration-spec.ts
@@ -167,6 +167,76 @@ describe('Manifest update - navigation menu items', () => {
     });
   }, 60000);
 
+  it('should move existing menu items into a folder created in the same sync', async () => {
+    await syncApplication({
+      manifest: buildManifest({
+        navigationMenuItems: [
+          {
+            universalIdentifier: TEST_CHILD_ID,
+            type: NavigationMenuItemType.LINK,
+            name: 'Child Link',
+            icon: 'IconLink',
+            position: 0,
+            link: 'https://example.com',
+          },
+        ],
+      }),
+      expectToFail: false,
+    });
+
+    const itemsAfterFirstSync = await findAppNavigationMenuItems();
+
+    expect(itemsAfterFirstSync).toHaveLength(1);
+    expect(itemsAfterFirstSync[0]).toMatchObject({
+      type: NavigationMenuItemType.LINK,
+      name: 'Child Link',
+      folderId: null,
+    });
+
+    await syncApplication({
+      manifest: buildManifest({
+        navigationMenuItems: [
+          {
+            universalIdentifier: TEST_FOLDER_ID,
+            type: NavigationMenuItemType.FOLDER,
+            name: 'Test Folder',
+            icon: 'IconFolder',
+            position: 0,
+          },
+          {
+            universalIdentifier: TEST_CHILD_ID,
+            type: NavigationMenuItemType.LINK,
+            name: 'Child Link',
+            icon: 'IconLink',
+            position: 0,
+            link: 'https://example.com',
+            folderUniversalIdentifier: TEST_FOLDER_ID,
+          },
+        ],
+      }),
+      expectToFail: false,
+    });
+
+    const itemsAfterSecondSync = await findAppNavigationMenuItems();
+
+    expect(itemsAfterSecondSync).toHaveLength(2);
+
+    const folder = itemsAfterSecondSync.find(
+      (item) => item.type === NavigationMenuItemType.FOLDER,
+    );
+    const child = itemsAfterSecondSync.find(
+      (item) => item.type === NavigationMenuItemType.LINK,
+    );
+
+    expect(folder).toBeDefined();
+    expect(child).toBeDefined();
+    expect(child).toMatchObject({
+      type: NavigationMenuItemType.LINK,
+      name: 'Child Link',
+      folderId: folder!.id,
+    });
+  }, 60000);
+
   it('should delete navigation menu items when removed from manifest on second sync', async () => {
     await syncApplication({
       manifest: buildManifest({