This is one of the first tools to be found, and the most important for settlement construction. Once placed in a tool slot, it will allow the player to alter the terrain within their settlement's influence range. When the tool is selected you will see a blue square/rectangle on the terrain. Clicking on a wall will delete the part encompassed by the rectangle. Clicking and dragging the floor will extrude the tile up or down. If you are below the tile you are editing you will only be able to take it so high; You can place your self above it to move it higher. If the smooth edit tool's active square appears as red, then the tile is not editable.