The “New item” menu in modern SharePoint document libraries now allows adding templates

I happily stumbled across an update to modern document libraries I hadn’t noticed before. The modern document library “new item” menu now includes an option to “Edit New Menu” which pulls up this pane in-context:

And also includes the ability to upload a new template directly from the menu, rather than through content type settings.

Any new templates added via this method will use the default content type for that library, but provides a way to have multiple templates for a single content type.