Sight perception is being blocked by Procedural Foliage Blocking Volumes.
Setting the volume to No Collision resolves the issue, but then the volume will not block foliage.
Found in 4.12 Preview 5 binary. Reproduced in 4.11.2 binary and Main CL 2989681.
1. Open the attached project
2. Note the location of the procedural foliage blocking volume
3. PIE
4. Walk in front of the blocking volume (notice that the AI Character (the cube) will not move towards you.
5. Exit PIE
6. Delete the blocking volume
7. PIE
Result: The procedural foliage blocking volume blocks sight perception.
Expected: The blocking volume would not block perception, as it is set up to ignore all collision.
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