Works for me after following above steps.
That said, it doesn’t function as I expected. I assumed you could see all files, and mark some as cloud, and other as local. It does that to start, but when you access, it downloads the file and it’s now local until you go back and remark as cloud. I’d rather it respect the original choice. Maybe I’m just weird, but I’m not crazy about constantly having to babysit my files.