I think I'll like this feature. But my fingers keep expecting something to be there that isn't: When I nav up the hierarchy (let's say my nav bar terminates at a folder), there doesn't seem to be an intuitive way to nav deeper. I keep expecting that Enter will somehow let me nav into that folder (i.e. add a new spot on the right in the nav bar).
Also, I'm finding it unintuitive that hitting Enter puts focus into the project view. I guess I see that once in the project view, I can use my arrow keys to nav around, but it'd be cool if I could use just the nav bar to get around, without ever using the project view.