diff --git a/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/Core/Converters/ExpandableObjectMarginConverter.cs b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/Core/Converters/ExpandableObjectMarginConverter.cs
new file mode 100644
index 00000000..8ae34007
--- /dev/null
+++ b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/Core/Converters/ExpandableObjectMarginConverter.cs
@@ -0,0 +1,20 @@
+using System;
+using System.Windows;
+using System.Windows.Data;
+
+namespace Microsoft.Windows.Controls.Core.Converters
+{
+    public class ExpandableObjectMarginConverter : IValueConverter
+    {
+        public object Convert(object value, Type targetType, object parameter, System.Globalization.CultureInfo culture)
+        {
+            int childLevel = (int)value;
+            return new Thickness(childLevel * 15, 0, 0, 0);
+        }
+
+        public object ConvertBack(object value, Type targetType, object parameter, System.Globalization.CultureInfo culture)
+        {
+            throw new NotImplementedException();
+        }
+    }
+}
diff --git a/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Implementation/PropertyGridUtilities.cs b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Implementation/PropertyGridUtilities.cs
index f42b3e01..20c7cea1 100644
--- a/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Implementation/PropertyGridUtilities.cs
+++ b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Implementation/PropertyGridUtilities.cs
@@ -59,6 +59,13 @@ namespace Microsoft.Windows.Controls.PropertyGrid
             return descriptors;
         }
 
+        internal static PropertyItem CreatePropertyItem(PropertyDescriptor property, object instance, PropertyGrid grid, string bindingPath, int level)
+        {
+            PropertyItem item = CreatePropertyItem(property, instance, grid, bindingPath);
+            item.Level = level;
+            return item;
+        }
+
         internal static PropertyItem CreatePropertyItem(PropertyDescriptor property, object instance, PropertyGrid grid, string bindingPath)
         {
             PropertyItem propertyItem = new PropertyItem(instance, property, grid, bindingPath);
diff --git a/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Implementation/PropertyItem.cs b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Implementation/PropertyItem.cs
index 193b085c..7a7429ca 100644
--- a/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Implementation/PropertyItem.cs
+++ b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Implementation/PropertyItem.cs
@@ -1,13 +1,13 @@
 using System;
-using System.Linq;
+using System.Collections.Generic;
 using System.ComponentModel;
+using System.Linq;
 using System.Windows;
 using System.Windows.Controls;
 using System.Windows.Data;
 using System.Windows.Input;
-using Microsoft.Windows.Controls.PropertyGrid.Commands;
 using System.Windows.Markup.Primitives;
-using System.Collections.Generic;
+using Microsoft.Windows.Controls.PropertyGrid.Commands;
 
 namespace Microsoft.Windows.Controls.PropertyGrid
 {
@@ -187,9 +187,9 @@ namespace Microsoft.Windows.Controls.PropertyGrid
 
         #region IsReadOnly
 
-        public bool IsReadOnly 
-        { 
-            get { return PropertyDescriptor.IsReadOnly; } 
+        public bool IsReadOnly
+        {
+            get { return PropertyDescriptor.IsReadOnly; }
         }
 
         #endregion //IsReadOnly
@@ -218,6 +218,17 @@ namespace Microsoft.Windows.Controls.PropertyGrid
 
         #endregion //IsSelected
 
+        #region Level
+
+        public static readonly DependencyProperty LevelProperty = DependencyProperty.Register("Level", typeof(int), typeof(PropertyItem), new UIPropertyMetadata(0));
+        public int Level
+        {
+            get { return (int)GetValue(LevelProperty); }
+            set { SetValue(LevelProperty, value); }
+        }
+
+        #endregion //Level
+
         #region Properties
 
         public static readonly DependencyProperty PropertiesProperty = DependencyProperty.Register("Properties", typeof(PropertyItemCollection), typeof(PropertyItem), new UIPropertyMetadata(null));
@@ -387,7 +398,7 @@ namespace Microsoft.Windows.Controls.PropertyGrid
                 foreach (PropertyDescriptor descriptor in descriptors)
                 {
                     if (descriptor.IsBrowsable)
-                        propertyItems.Add(PropertyGridUtilities.CreatePropertyItem(descriptor, Instance, PropertyGrid, String.Format("{0}.{1}", BindingPath, descriptor.Name)));
+                        propertyItems.Add(PropertyGridUtilities.CreatePropertyItem(descriptor, Instance, PropertyGrid, String.Format("{0}.{1}", BindingPath, descriptor.Name), Level + 1));
                 }
             }
             catch (Exception ex)
diff --git a/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Themes/Generic.xaml b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Themes/Generic.xaml
index fd51ac1b..73a87005 100644
--- a/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Themes/Generic.xaml
+++ b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/PropertyGrid/Themes/Generic.xaml
@@ -13,6 +13,7 @@
 
     <BooleanToVisibilityConverter x:Key="BooleanToVisibilityConverter" />
     <converters:InverseBoolConverter x:Key="InverseBoolConverter" />
+    <converters:ExpandableObjectMarginConverter x:Key="ExpandableObjectMarginConverter" />
     <pgConverters:ValueSourceToImagePathConverter x:Key="ValueSourceToImagePathConverter" />
     <pgConverters:ValueSourceToToolTipConverter x:Key="ValueSourceToToolTipConverter" />
 
@@ -299,20 +300,26 @@
                             <Border BorderThickness="0.5" BorderBrush="#FFF0F0F0" x:Name="PART_Name">
                                 <Grid Margin="2,2,2,2">
                                     <Grid.ColumnDefinitions>
-                                        <ColumnDefinition Width="15" />
                                         <ColumnDefinition Width="*" />
                                         <ColumnDefinition Width="Auto" />
                                     </Grid.ColumnDefinitions>
 
-                                    <Border Grid.Column="0" >
-                                        <ToggleButton Template="{StaticResource ExpanderToggleButton}" OverridesDefaultStyle="True"
+                                    <Grid Margin="{Binding Level, RelativeSource={RelativeSource TemplatedParent}, Converter={StaticResource ExpandableObjectMarginConverter}}">
+                                        <Grid.ColumnDefinitions>
+                                            <ColumnDefinition Width="15" />
+                                            <ColumnDefinition Width="*" />
+                                        </Grid.ColumnDefinitions>
+
+                                        <Border Grid.Column="0" >
+                                            <ToggleButton Template="{StaticResource ExpanderToggleButton}" OverridesDefaultStyle="True"
                                               IsChecked="{Binding IsExpanded, RelativeSource={RelativeSource TemplatedParent}}"
                                               Visibility="{Binding HasChildProperties, RelativeSource={RelativeSource TemplatedParent}, Converter={StaticResource BooleanToVisibilityConverter}}"/>
-                                    </Border>
+                                        </Border>
 
-                                    <TextBlock Grid.Column="1" Text="{Binding DisplayName, RelativeSource={RelativeSource TemplatedParent}}" HorizontalAlignment="Stretch" TextTrimming="CharacterEllipsis"/>
+                                        <TextBlock Grid.Column="1" Text="{Binding DisplayName, RelativeSource={RelativeSource TemplatedParent}}" HorizontalAlignment="Stretch" TextTrimming="CharacterEllipsis"/>
+                                    </Grid>                                    
 
-                                    <Grid Grid.Column="2" HorizontalAlignment="Right" Margin="5,0,5,0"  Visibility="{Binding ShowAdvancedOptions, RelativeSource={RelativeSource Mode=FindAncestor, AncestorType=local:PropertyGrid}, Converter={StaticResource BooleanToVisibilityConverter}}"
+                                    <Grid Grid.Column="1" HorizontalAlignment="Right" Margin="5,0,5,0"  Visibility="{Binding ShowAdvancedOptions, RelativeSource={RelativeSource Mode=FindAncestor, AncestorType=local:PropertyGrid}, Converter={StaticResource BooleanToVisibilityConverter}}"
                                           utilities:ContextMenuUtilities.OpenOnMouseLeftButtonClick="True"
                                           ContextMenu="{Binding AdvancedOptionsMenu, RelativeSource={RelativeSource Mode=FindAncestor, AncestorType=local:PropertyGrid}}" >
 
@@ -328,7 +335,7 @@
                             </Border>
 
                             <Expander x:Name="_propertyExpander" Grid.ColumnSpan="2" Grid.Row="1" IsExpanded="{TemplateBinding IsExpanded}" Style="{StaticResource PropertyExpanderStyle}" IsEnabled="True">
-                                <ItemsControl ItemsSource="{Binding Properties, RelativeSource={RelativeSource TemplatedParent}}" IsTabStop="False" Focusable="False" Margin="15,0,0,0" >
+                                <ItemsControl ItemsSource="{Binding Properties, RelativeSource={RelativeSource TemplatedParent}}" IsTabStop="False" Focusable="False" >
                                     <ItemsControl.ItemsPanel>
                                         <ItemsPanelTemplate>
                                             <VirtualizingStackPanel />
@@ -364,72 +371,6 @@
         </Setter>
     </Style>
 
-    <!--<Style TargetType="{x:Type local:PropertyItem}">
-        <Setter Property="BorderBrush" Value="#FFF0F0F0" />
-        <Setter Property="BorderThickness" Value="1" />
-        <Setter Property="Focusable" Value="True"/>
-        <Setter Property="IsTabStop" Value="False" />
-        <Setter Property="Template">
-            <Setter.Value>
-                <ControlTemplate TargetType="{x:Type local:PropertyItem}">
-                    <Border Background="White" ContextMenu="{Binding AdvancedOptionsMenu, RelativeSource={RelativeSource Mode=FindAncestor, AncestorType=local:PropertyGrid}}" ContextMenuService.Placement="Bottom">
-                        <Grid VerticalAlignment="Center" HorizontalAlignment="Stretch">
-                            <Grid.ColumnDefinitions>
-                                <ColumnDefinition Width="{Binding NameColumnWidth, RelativeSource={RelativeSource FindAncestor, AncestorType={x:Type local:PropertyGrid}}}"/>
-                                <ColumnDefinition Width="*"/>
-                            </Grid.ColumnDefinitions>
-
-                            <Border BorderThickness="0.5" BorderBrush="#FFF0F0F0" x:Name="PART_Name">
-                                <Grid Margin="7,2,2,2">
-                                    <Grid.ColumnDefinitions>
-                                        <ColumnDefinition Width="*" />
-                                        <ColumnDefinition Width="Auto" />
-                                    </Grid.ColumnDefinitions>
-
-                                    <TextBlock Text="{Binding DisplayName, RelativeSource={RelativeSource TemplatedParent}}" HorizontalAlignment="Stretch" TextTrimming="CharacterEllipsis"/>
-
-                                    <Grid Grid.Column="1" HorizontalAlignment="Right" Margin="5,0,5,0"  Visibility="{Binding ShowAdvancedOptions, RelativeSource={RelativeSource Mode=FindAncestor, AncestorType=local:PropertyGrid}, Converter={StaticResource BooleanToVisibilityConverter}}"
-                                          utilities:ContextMenuUtilities.OpenOnMouseLeftButtonClick="True"
-                                          ContextMenu="{Binding AdvancedOptionsMenu, RelativeSource={RelativeSource Mode=FindAncestor, AncestorType=local:PropertyGrid}}" >
-
-                                        <Image x:Name="_optionsImage" Width="11" Height="11"
-                                               Source="{Binding ValueSource, RelativeSource={RelativeSource TemplatedParent}, Converter={StaticResource ValueSourceToImagePathConverter}}"
-                                               ToolTip="{Binding ValueSource, RelativeSource={RelativeSource TemplatedParent}, Converter={StaticResource ValueSourceToToolTipConverter}}" />
-                                    </Grid>
-                                </Grid>
-                            </Border>
-
-                            <Border BorderThickness="0.5" BorderBrush="#FFF0F0F0" x:Name="PART_Editor"  Grid.Column="1" Background="Transparent">
-                                <ContentControl Content="{TemplateBinding Editor}" VerticalAlignment="Center" Focusable="False" IsTabStop="False" />
-                            </Border>
-                        </Grid>
-                    </Border>
-                    <ControlTemplate.Triggers>
-                        <DataTrigger Binding="{Binding IsDataBound, RelativeSource={RelativeSource Self}}" Value="True">
-                            <Setter TargetName="_optionsImage" Property="Source" Value="/WPFToolkit.Extended;component/PropertyGrid/Images/Database11.png" />
-                            <Setter TargetName="_optionsImage" Property="ToolTip" Value="Databinding" />
-                        </DataTrigger>
-                        <DataTrigger Binding="{Binding IsDynamicResource, RelativeSource={RelativeSource Self}}" Value="True">
-                            <Setter TargetName="_optionsImage" Property="Source" Value="/WPFToolkit.Extended;component/PropertyGrid/Images/Resource11.png" />
-                            <Setter TargetName="_optionsImage" Property="ToolTip" Value="Resource" />
-                        </DataTrigger>
-                        <DataTrigger Binding="{Binding HasResourceApplied, RelativeSource={RelativeSource Self}}" Value="True">
-                            <Setter TargetName="_optionsImage" Property="Source" Value="/WPFToolkit.Extended;component/PropertyGrid/Images/Resource11.png" />
-                            <Setter TargetName="_optionsImage" Property="ToolTip" Value="Resource" />
-                        </DataTrigger>
-                        <Trigger Property="IsMouseOver" Value="True">
-                            <Setter TargetName="PART_Name" Property="Background" Value="#CED4DF" />
-                        </Trigger>
-                        <Trigger Property="IsSelected" Value="True">
-                            <Setter TargetName="PART_Name" Property="Background" Value="#43577B" />
-                            <Setter TargetName="PART_Name" Property="TextElement.Foreground" Value="White" />
-                        </Trigger>
-                    </ControlTemplate.Triggers>
-                </ControlTemplate>
-            </Setter.Value>
-        </Setter>
-    </Style>-->
-
     <Style TargetType="{x:Type local:PropertyGrid}">
         <Setter Property="AdvancedOptionsMenu" Value="{StaticResource DefaultAdvancedOptionsMenu}" />
         <Setter Property="Background" Value="#CED4DF" />
diff --git a/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/WPFToolkit.Extended.csproj b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/WPFToolkit.Extended.csproj
index e67349f6..e104e7c5 100644
--- a/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/WPFToolkit.Extended.csproj
+++ b/ExtendedWPFToolkitSolution/Src/WPFToolkit.Extended/WPFToolkit.Extended.csproj
@@ -267,6 +267,7 @@
     <Compile Include="PropertyGrid\Implementation\Editors\TextBlockEditor.cs" />
     <Compile Include="PropertyGrid\Implementation\Editors\TextBoxEditor.cs" />
     <Compile Include="PropertyGrid\Implementation\Editors\TypeEditor.cs" />
+    <Compile Include="Core\Converters\ExpandableObjectMarginConverter.cs" />
     <Compile Include="PropertyGrid\Implementation\PropertyGrid.cs" />
     <Compile Include="PropertyGrid\Implementation\PropertyItemCollection.cs" />
     <Compile Include="PropertyGrid\Implementation\PropertyItem.cs" />