diff --git a/canvas/src/components/TemplatePalette.tsx b/canvas/src/components/TemplatePalette.tsx
index 2d2b1718..79fd42ae 100644
--- a/canvas/src/components/TemplatePalette.tsx
+++ b/canvas/src/components/TemplatePalette.tsx
@@ -54,6 +54,13 @@ export function OrgTemplatesSection() {
   const [loading, setLoading] = useState(false);
   const [importing, setImporting] = useState<string | null>(null);
   const [error, setError] = useState<string | null>(null);
+  // Collapsed by default — org templates are multi-workspace imports
+  // that most new users don't reach for first. Keeping them
+  // expand-on-demand frees ~400 px of vertical space for the
+  // individual workspace templates above, which is the primary
+  // deploy path. The count in the header still makes discovery
+  // obvious: "Org Templates (4) ▸".
+  const [expanded, setExpanded] = useState(false);
 
   const loadOrgs = useCallback(async () => {
     setLoading(true);
@@ -80,9 +87,26 @@ export function OrgTemplatesSection() {
   return (
     <div className="space-y-2" data-testid="org-templates-section">
       <div className="flex items-center justify-between">
-        <h3 className="text-[10px] uppercase tracking-wide text-zinc-500 font-semibold">
+        <button
+          type="button"
+          onClick={() => setExpanded((v) => !v)}
+          aria-expanded={expanded}
+          aria-controls="org-templates-body"
+          className="flex items-center gap-1.5 text-[10px] uppercase tracking-wide text-zinc-500 hover:text-zinc-300 font-semibold transition-colors"
+        >
+          <span
+            aria-hidden="true"
+            className={`inline-block text-[8px] transition-transform duration-150 ${expanded ? "rotate-90" : ""}`}
+          >
+            ▶
+          </span>
           Org Templates
-        </h3>
+          {orgs.length > 0 && (
+            <span className="text-zinc-600 normal-case tracking-normal">
+              ({orgs.length})
+            </span>
+          )}
+        </button>
         <button
           onClick={loadOrgs}
           aria-label="Refresh org templates"
@@ -92,6 +116,8 @@ export function OrgTemplatesSection() {
         </button>
       </div>
 
+      {expanded && (
+        <div id="org-templates-body" className="space-y-2">
       {loading && (
         <div role="status" aria-live="polite" className="flex items-center gap-1.5 text-[10px] text-zinc-500">
           <Spinner size="sm" />
@@ -141,6 +167,8 @@ export function OrgTemplatesSection() {
           </div>
         );
       })}
+        </div>
+      )}
     </div>
   );
 }
diff --git a/canvas/src/components/__tests__/OrgTemplatesSection.test.tsx b/canvas/src/components/__tests__/OrgTemplatesSection.test.tsx
new file mode 100644
index 00000000..59bdda12
--- /dev/null
+++ b/canvas/src/components/__tests__/OrgTemplatesSection.test.tsx
@@ -0,0 +1,102 @@
+// @vitest-environment jsdom
+import { describe, it, expect, vi, beforeEach, afterEach } from "vitest";
+import { render, screen, waitFor, fireEvent, cleanup } from "@testing-library/react";
+
+// Tests for the default-collapsed + expand-on-click behavior of the
+// org templates drawer. Before this change the section rendered all
+// org cards inline, which pushed the individual workspace templates
+// off-screen when there were ≥3 orgs on disk. Collapsed-by-default
+// keeps the scroll focused on the primary deploy path.
+
+vi.mock("@/lib/api", () => ({
+  api: {
+    get: vi.fn().mockResolvedValue([
+      { dir: "free-beats-all", name: "Free Beats All", description: "d1", workspaces: 3 },
+      { dir: "medo-smoke", name: "MeDo Smoke Test", description: "d2", workspaces: 1 },
+    ]),
+    post: vi.fn().mockResolvedValue({}),
+  },
+}));
+
+vi.mock("../Spinner", () => ({ Spinner: () => null }));
+vi.mock("../MissingKeysModal", () => ({ MissingKeysModal: () => null }));
+vi.mock("../ConfirmDialog", () => ({ ConfirmDialog: () => null }));
+vi.mock("@/lib/deploy-preflight", () => ({ checkDeploySecrets: vi.fn() }));
+
+import { OrgTemplatesSection } from "../TemplatePalette";
+
+beforeEach(() => {
+  vi.clearAllMocks();
+});
+
+afterEach(() => {
+  cleanup();
+});
+
+describe("OrgTemplatesSection — collapse/expand", () => {
+  it("renders collapsed by default — org cards are NOT in the DOM", async () => {
+    render(<OrgTemplatesSection />);
+    // The header toggle is visible immediately…
+    // Two buttons match "Org Templates" (toggle + refresh) — pick the
+    // toggle by its aria-controls binding.
+    const toggle = (await screen.findAllByRole("button")).find((b) =>
+      b.getAttribute("aria-controls") === "org-templates-body"
+    )!;
+    expect(toggle).toBeTruthy();
+    expect(toggle.getAttribute("aria-expanded")).toBe("false");
+
+    // …and the count appears after loadOrgs resolves.
+    await waitFor(() => {
+      expect(toggle.textContent).toContain("(2)");
+    });
+
+    // But none of the individual org cards should be rendered yet.
+    expect(screen.queryByText("Free Beats All")).toBeNull();
+    expect(screen.queryByText("MeDo Smoke Test")).toBeNull();
+  });
+
+  it("clicking the header reveals the org cards", async () => {
+    render(<OrgTemplatesSection />);
+
+    // Wait for the count so we know loadOrgs finished.
+    // Two buttons match "Org Templates" (toggle + refresh) — pick the
+    // toggle by its aria-controls binding.
+    const toggle = (await screen.findAllByRole("button")).find((b) =>
+      b.getAttribute("aria-controls") === "org-templates-body"
+    )!;
+    await waitFor(() => {
+      expect(toggle.textContent).toContain("(2)");
+    });
+
+    // Expand.
+    fireEvent.click(toggle);
+    await waitFor(() => {
+      expect(toggle.getAttribute("aria-expanded")).toBe("true");
+    });
+
+    // Org cards now visible.
+    expect(screen.getByText("Free Beats All")).toBeTruthy();
+    expect(screen.getByText("MeDo Smoke Test")).toBeTruthy();
+  });
+
+  it("clicking the header again collapses back", async () => {
+    render(<OrgTemplatesSection />);
+    // Two buttons match "Org Templates" (toggle + refresh) — pick the
+    // toggle by its aria-controls binding.
+    const toggle = (await screen.findAllByRole("button")).find((b) =>
+      b.getAttribute("aria-controls") === "org-templates-body"
+    )!;
+    await waitFor(() => {
+      expect(toggle.textContent).toContain("(2)");
+    });
+
+    fireEvent.click(toggle); // expand
+    expect(screen.getByText("Free Beats All")).toBeTruthy();
+
+    fireEvent.click(toggle); // collapse
+    await waitFor(() => {
+      expect(toggle.getAttribute("aria-expanded")).toBe("false");
+    });
+    expect(screen.queryByText("Free Beats All")).toBeNull();
+  });
+});