This is pissing me off. Why is it sometimes "Assign Material" Greyd out? Sometimes it works other times it wont?!

You need to select the material to assign first.

It is selected.

I dont mean to bump so early but help would be really nice.

Textures and materials are very different, read this:
http://sdk.crymod.com/display/SDKDOC21/Painting+Terrain

Simple answer:
You have to open the Material editor, hightlight a material, go back to the texture editor with your material highlighted and the option will now be available.

I can only get as far till it gets to "Changing a Layer's Material."

bump

WTF, now the textures im appling are the size of the entire island?!

OK... here we go:

At the default editor, click up top on the TERRAIN > TEXTURE area... This will open up the terrain texture box.


Then click on the default (not pictured), and create a new layer. After this, click OUTSIDE of the terrain box (leaving it open) and the hit "M" to bring up the Material Editor. Click on the drop down of Terrain and you will see the following:



Then click on the material you want to use, and then you WILL be able to use the ASSIGN MATERIAL



As for it taking over the entire terrain, they have a paint tool for this... The material does not automatically apply itself to your area without you first painting it via LAYER PAINT (if i remember correctly)

I got it fixed. Thanks for the help

I am transitioning from UDK to CDK so there are a few things that i need to get used too.