Chapter 1 - Add models to scene view question

I’m following through this book (v1.0) using Unity 5.4.2f1 on Chapter 1 page 38 “add models to scene view”

When I drag the BobbleArena model into the Scene view, I do not see a coloured gameobject as shown in the book. I see a black and white wireframe mesh. Doesn’t matter if I choose between “Shaded”, “Shaded wireframe” or “Wireframe” it looks the same. It’s like the model is missing textures?

I’m wondering if this has something to do with the previous step which says “As you did before, to keep things tidy, single click the newly generated Materials folder (in the Models folder) and rename it to Models. Drag this new folder into the parent-level Materials folder.”

I’m not sure why we are renaming the Materials folder in the Models subfolder to Models and then draggins it into the Materials folder in the root. This step is really confusing. I tried to un-do but this doesn’t work. I tried re-importing the “Bobblehead Wars.unity package” again but it doesn’t re-create the Materials folder in the Models folder. I’m going to scrap this project and start over.

Is this an error, or am I doing something wrong? I am following the book to the letter.

Thanks

I’ve tried the following to resolve the same issue:

After selecting the model in the project panel, inside the inspector with the Model button selected, scroll down to the Materials titled section and change the Material Search drop-down button to Local Materials Folder then hit the apply button just below that. All materials should become visible.