Creating an empty parent for a prefab child object results in the creation of a 'sibling' instead of a 'parent'. Refer to the attached Video.

Steps to Reproduce:
1. Create a New Project
2. Hierarchy > Create Empty > Create Empty Child
3. Create a Prefab of Parent Object
4. Select Child > Rightclick > Create Empty Parent

Actual Result:
The new object is not created as a parent of the child prefab object but as a sibling

Expected Result:
The new object should be created as a Parent of the child prefab object

Note:
'Create Empty Parent' option was introduced in 2020.2.0a5

Reproducible with:
2021.1.0a10, 2021.1.0a1, 2020.2.0f1, 2020.2.0a5

Environment:
Windows 10 and macOS 10.15

License type: Pro