Instanced Static mesh does not LOD at the same screen distance as standalone mesh

DESCRIPTION: When using instanced static mesh component in a blueprint that has LODs the normal distances for LODs are not reflected for the instanced static mesh component.

AH Post: https://answers.unrealengine.com/questions/118188/instanced-static-meshes-do-not-lod-properly.html

ATTACHED: Test LOD asset

ENVIRONMENT:
OS: Windows 8.1
PROCESSOR: Intel(R) Xeon(R) CPU E5-2620 @ 2.10GHz
MEMORY: 32GB RAM
GRAPHICS: NVIDIA GeForce GTX 770

FREQUENCY: 3/3
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REPRO STEPS:

• Open UE4
• Import a mesh with LODs
• Create a Blueprint with a Instanced Static Mesh
• Place in scene next to static mesh LOD

Expected: The mesh LODs will LOD at the same distance

RESULTS: As it stands the LODs are not equal for instance static meshes. The screen distance LODs at different distances than the static mesh version where the LOD screen distances are set.