diff --git a/Gems/LmbrCentral/Code/CMakeLists.txt b/Gems/LmbrCentral/Code/CMakeLists.txt
index 2df0bd0632..4401d3b752 100644
--- a/Gems/LmbrCentral/Code/CMakeLists.txt
+++ b/Gems/LmbrCentral/Code/CMakeLists.txt
@@ -121,75 +121,4 @@ if (PAL_TRAIT_BUILD_HOST_TOOLS)
 
 endif()
 
-################################################################################
-# Tests
-################################################################################
-if(PAL_TRAIT_BUILD_TESTS_SUPPORTED)
-    ly_add_target(
-        NAME LmbrCentral.Mocks HEADERONLY
-        NAMESPACE Gem
-        FILES_CMAKE
-            lmbrcentral_mocks_files.cmake
-        INCLUDE_DIRECTORIES
-            INTERFACE
-                Mocks
-    )
-    
-    ly_add_target(
-        NAME LmbrCentral.Tests ${PAL_TRAIT_TEST_TARGET_TYPE}
-        NAMESPACE Gem
-        FILES_CMAKE
-            lmbrcentral_tests_files.cmake
-            lmbrcentral_shared_files.cmake
-        INCLUDE_DIRECTORIES
-            PRIVATE
-                Source
-                Tests
-        BUILD_DEPENDENCIES
-            PRIVATE
-                AZ::AzTest
-                AZ::AzTestShared
-                Legacy::CryCommon
-                AZ::AzFramework
-                Gem::LmbrCentral.Static
-                Gem::LmbrCentral.Mocks
-    )
-    ly_add_googletest(
-        NAME Gem::LmbrCentral.Tests
-    )
-
-    if (PAL_TRAIT_BUILD_HOST_TOOLS)
-        ly_add_target(
-            NAME LmbrCentral.Editor.Tests ${PAL_TRAIT_TEST_TARGET_TYPE}
-            NAMESPACE Gem
-            FILES_CMAKE
-                lmbrcentral_editor_tests_files.cmake
-            INCLUDE_DIRECTORIES
-                PRIVATE
-                    .
-                    Source
-                    Tests
-            COMPILE_DEFINITIONS
-                PRIVATE
-                    LMBR_CENTRAL_EDITOR
-            BUILD_DEPENDENCIES
-                PRIVATE
-                    3rdParty::Qt::Gui
-                    3rdParty::Qt::Widgets
-                    Legacy::CryCommon
-                    Legacy::Editor.Headers
-                    AZ::AzTest
-                    AZ::AzCore
-                    AZ::AzTestShared
-                    AZ::AzToolsFramework
-                    AZ::AzToolsFrameworkTestCommon
-                    AZ::AssetBuilderSDK
-                    AZ::AzManipulatorTestFramework.Static
-                    Gem::LmbrCentral.Static
-                    Gem::LmbrCentral.Editor.Static
-        )
-        ly_add_googletest(
-            NAME Gem::LmbrCentral.Editor.Tests
-        )
-    endif()
-endif()
+add_subdirectory(Tests)
diff --git a/Gems/LmbrCentral/Code/Tests/CMakeLists.txt b/Gems/LmbrCentral/Code/Tests/CMakeLists.txt
new file mode 100644
index 0000000000..52928cc5db
--- /dev/null
+++ b/Gems/LmbrCentral/Code/Tests/CMakeLists.txt
@@ -0,0 +1,79 @@
+#
+# Copyright (c) Contributors to the Open 3D Engine Project.
+# For complete copyright and license terms please see the LICENSE at the root of this distribution.
+#
+# SPDX-License-Identifier: Apache-2.0 OR MIT
+#
+#
+
+if(NOT PAL_TRAIT_BUILD_TESTS_SUPPORTED)
+    return()
+endif()
+    
+ly_add_target(
+    NAME LmbrCentral.Mocks HEADERONLY
+    NAMESPACE Gem
+    FILES_CMAKE
+        lmbrcentral_mocks_files.cmake
+    INCLUDE_DIRECTORIES
+        INTERFACE
+            ../Mocks
+)
+    
+ly_add_target(
+    NAME LmbrCentral.Tests ${PAL_TRAIT_TEST_TARGET_TYPE}
+    NAMESPACE Gem
+    FILES_CMAKE
+        lmbrcentral_tests_files.cmake
+    INCLUDE_DIRECTORIES
+        PRIVATE
+            ../Source
+            .
+    BUILD_DEPENDENCIES
+        PRIVATE
+            AZ::AzTest
+            AZ::AzTestShared
+            Legacy::CryCommon
+            AZ::AzFramework
+            Gem::LmbrCentral.Static
+            Gem::LmbrCentral.Mocks
+)
+ly_add_googletest(
+    NAME Gem::LmbrCentral.Tests
+)
+
+if (PAL_TRAIT_BUILD_HOST_TOOLS)
+    ly_add_target(
+        NAME LmbrCentral.Editor.Tests ${PAL_TRAIT_TEST_TARGET_TYPE}
+        NAMESPACE Gem
+        FILES_CMAKE
+            lmbrcentral_editor_tests_files.cmake
+        INCLUDE_DIRECTORIES
+            PRIVATE
+                ..
+                ../Source
+                .
+        COMPILE_DEFINITIONS
+            PRIVATE
+                LMBR_CENTRAL_EDITOR
+        BUILD_DEPENDENCIES
+            PRIVATE
+                3rdParty::Qt::Gui
+                3rdParty::Qt::Widgets
+                Legacy::CryCommon
+                Legacy::Editor.Headers
+                AZ::AzTest
+                AZ::AzCore
+                AZ::AzTestShared
+                AZ::AzToolsFramework
+                AZ::AzToolsFrameworkTestCommon
+                AZ::AssetBuilderSDK
+                AZ::AzManipulatorTestFramework.Static
+                Gem::LmbrCentral.Static
+                Gem::LmbrCentral.Editor.Static
+    )
+    ly_add_googletest(
+        NAME Gem::LmbrCentral.Editor.Tests
+    )
+endif()
+
diff --git a/Gems/LmbrCentral/Code/Tests/lmbrcentral_editor_tests_files.cmake b/Gems/LmbrCentral/Code/Tests/lmbrcentral_editor_tests_files.cmake
new file mode 100644
index 0000000000..72a26c2884
--- /dev/null
+++ b/Gems/LmbrCentral/Code/Tests/lmbrcentral_editor_tests_files.cmake
@@ -0,0 +1,28 @@
+#
+# Copyright (c) Contributors to the Open 3D Engine Project.
+# For complete copyright and license terms please see the LICENSE at the root of this distribution.
+#
+# SPDX-License-Identifier: Apache-2.0 OR MIT
+#
+#
+
+set(FILES
+    LmbrCentralEditorTest.cpp
+    LmbrCentralReflectionTest.h
+    LmbrCentralReflectionTest.cpp
+    EditorBoxShapeComponentTests.cpp
+    EditorSphereShapeComponentTests.cpp
+    EditorCapsuleShapeComponentTests.cpp
+    EditorCompoundShapeComponentTests.cpp
+    EditorCylinderShapeComponentTests.cpp
+    EditorPolygonPrismShapeComponentTests.cpp
+    EditorTubeShapeComponentTests.cpp
+    SpawnerComponentTest.cpp
+    Builders/CopyDependencyBuilderTest.cpp
+    Builders/SliceBuilderTests.cpp
+    Builders/LevelBuilderTest.cpp
+    Builders/LuaBuilderTests.cpp
+    Builders/SeedBuilderTests.cpp
+    ../Source/LmbrCentral.cpp
+    ../Source/LmbrCentralEditor.cpp
+)
diff --git a/Gems/LmbrCentral/Code/lmbrcentral_mocks_files.cmake b/Gems/LmbrCentral/Code/Tests/lmbrcentral_mocks_files.cmake
similarity index 83%
rename from Gems/LmbrCentral/Code/lmbrcentral_mocks_files.cmake
rename to Gems/LmbrCentral/Code/Tests/lmbrcentral_mocks_files.cmake
index c3a5cca3f8..1e510747f2 100644
--- a/Gems/LmbrCentral/Code/lmbrcentral_mocks_files.cmake
+++ b/Gems/LmbrCentral/Code/Tests/lmbrcentral_mocks_files.cmake
@@ -7,5 +7,5 @@
 #
 
 set(FILES
-    Mocks/LmbrCentral/Shape/MockShapes.h
+    ../Mocks/LmbrCentral/Shape/MockShapes.h
 )
diff --git a/Gems/LmbrCentral/Code/Tests/lmbrcentral_tests_files.cmake b/Gems/LmbrCentral/Code/Tests/lmbrcentral_tests_files.cmake
new file mode 100644
index 0000000000..1555ff53d8
--- /dev/null
+++ b/Gems/LmbrCentral/Code/Tests/lmbrcentral_tests_files.cmake
@@ -0,0 +1,32 @@
+#
+# Copyright (c) Contributors to the Open 3D Engine Project.
+# For complete copyright and license terms please see the LICENSE at the root of this distribution.
+#
+# SPDX-License-Identifier: Apache-2.0 OR MIT
+#
+#
+
+set(FILES
+    AudioComponentTests.cpp
+    AxisAlignedBoxShapeTest.cpp
+    BoxShapeTest.cpp
+    BundlingSystemComponentTests.cpp
+    SphereShapeTest.cpp
+    CylinderShapeTest.cpp
+    CapsuleShapeTest.cpp
+    PolygonPrismShapeTest.cpp
+    QuadShapeTest.cpp
+    TubeShapeTest.cpp
+    LmbrCentralReflectionTest.h
+    LmbrCentralReflectionTest.cpp
+    LmbrCentralTest.cpp
+    ShapeGeometryUtilTest.cpp
+    SpawnerComponentTest.cpp
+    SplineComponentTests.cpp
+    DiskShapeTest.cpp
+    ReferenceShapeTests.cpp
+    ../Source/LmbrCentral.cpp
+    ../Source/Ai/NavigationComponent.cpp
+    ../Source/Scripting/SpawnerComponent.cpp
+    ../Source/Shape/TubeShape.cpp
+)
diff --git a/Gems/LmbrCentral/Code/lmbrcentral_editor_tests_files.cmake b/Gems/LmbrCentral/Code/lmbrcentral_editor_tests_files.cmake
deleted file mode 100644
index afba79e566..0000000000
--- a/Gems/LmbrCentral/Code/lmbrcentral_editor_tests_files.cmake
+++ /dev/null
@@ -1,28 +0,0 @@
-#
-# Copyright (c) Contributors to the Open 3D Engine Project.
-# For complete copyright and license terms please see the LICENSE at the root of this distribution.
-#
-# SPDX-License-Identifier: Apache-2.0 OR MIT
-#
-#
-
-set(FILES
-    Tests/LmbrCentralEditorTest.cpp
-    Tests/LmbrCentralReflectionTest.h
-    Tests/LmbrCentralReflectionTest.cpp
-    Tests/EditorBoxShapeComponentTests.cpp
-    Tests/EditorSphereShapeComponentTests.cpp
-    Tests/EditorCapsuleShapeComponentTests.cpp
-    Tests/EditorCompoundShapeComponentTests.cpp
-    Tests/EditorCylinderShapeComponentTests.cpp
-    Tests/EditorPolygonPrismShapeComponentTests.cpp
-    Tests/EditorTubeShapeComponentTests.cpp
-    Tests/SpawnerComponentTest.cpp
-    Tests/Builders/CopyDependencyBuilderTest.cpp
-    Tests/Builders/SliceBuilderTests.cpp
-    Tests/Builders/LevelBuilderTest.cpp
-    Tests/Builders/LuaBuilderTests.cpp
-    Tests/Builders/SeedBuilderTests.cpp
-    Source/LmbrCentral.cpp
-    Source/LmbrCentralEditor.cpp
-)
diff --git a/Gems/LmbrCentral/Code/lmbrcentral_tests_files.cmake b/Gems/LmbrCentral/Code/lmbrcentral_tests_files.cmake
deleted file mode 100644
index 97e5d87829..0000000000
--- a/Gems/LmbrCentral/Code/lmbrcentral_tests_files.cmake
+++ /dev/null
@@ -1,29 +0,0 @@
-#
-# Copyright (c) Contributors to the Open 3D Engine Project.
-# For complete copyright and license terms please see the LICENSE at the root of this distribution.
-#
-# SPDX-License-Identifier: Apache-2.0 OR MIT
-#
-#
-
-set(FILES
-    Tests/AudioComponentTests.cpp
-    Tests/AxisAlignedBoxShapeTest.cpp
-    Tests/BoxShapeTest.cpp
-    Tests/BundlingSystemComponentTests.cpp
-    Tests/SphereShapeTest.cpp
-    Tests/CylinderShapeTest.cpp
-    Tests/CapsuleShapeTest.cpp
-    Tests/PolygonPrismShapeTest.cpp
-    Tests/QuadShapeTest.cpp
-    Tests/TubeShapeTest.cpp
-    Tests/LmbrCentralReflectionTest.h
-    Tests/LmbrCentralReflectionTest.cpp
-    Tests/LmbrCentralTest.cpp
-    Tests/ShapeGeometryUtilTest.cpp
-    Tests/SpawnerComponentTest.cpp
-    Tests/SplineComponentTests.cpp
-    Tests/DiskShapeTest.cpp
-    Tests/ReferenceShapeTests.cpp
-    Source/LmbrCentral.cpp
-)