**This was fixed in the VS 2012 Update. You can get it from: http://www.microsoft.com/visualstudio/eng/downloads#d-visual-studio-2012-update** <br /><br />Repro steps:<br />1. Create a project<br />2. Add a project folder ("Models")<br />3. Add a new .edmx ("Model1") into the project folder<br />4. Add an entity ("car") and save.<br /><br />Expected:<br />A new Car.cs file under Model1.tt, as well as related updates to Model1.Context.cs<br /><br />Actual:<br />No updates to generated code<br /><br />Workarounds:<br />- Right click on .tt file and select "Run Custom Tool"<br />- Drag .edmx out of the project folder
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