Did a play-test with Adam and Thom yesterday. Discovered an issue when you have more than 2 players connected, the 3rd player's avatar does not sync up with the other 2 players! Luckily it was a pretty easy fix, having to do with initial values for the different authorization sequences. I also was concerned about the jitter i was seeing when playing, but i realized i was playing as a HOST, and the rigidbody sync system is not setup for HOST style play, only SERVER and CLIENT. The SERVER does no smoothing to the objects, which is why it looked so bad for me.
Now i can move forward onto the in-world item selection stuff.