diff --git a/source/graphics/Decal.h b/source/graphics/Decal.h
index af2516b3fe..28411019c6 100644
--- a/source/graphics/Decal.h
+++ b/source/graphics/Decal.h
@@ -53,6 +53,7 @@ public:
 	CModelDecal(CTerrain* terrain, const SDecal& decal)
 		: m_Terrain(terrain), m_Decal(decal)
 	{
+		ENSURE(terrain != NULL);
 	}
 
 	/// Dynamic cast
diff --git a/source/graphics/MapReader.cpp b/source/graphics/MapReader.cpp
index 06a90986f1..1b59ecf452 100644
--- a/source/graphics/MapReader.cpp
+++ b/source/graphics/MapReader.cpp
@@ -131,9 +131,15 @@ void CMapReader::LoadMap(const VfsPath& pathname,  const CScriptValRooted& setti
 		RegMemFun(this, &CMapReader::UnpackMap, L"CMapReader::UnpackMap", 1200);
 
 	// read the corresponding XML file
-	RegMemFun(this, &CMapReader::ReadXML, L"CMapReader::ReadXML", 5800);
+	RegMemFun(this, &CMapReader::ReadXML, L"CMapReader::ReadXML", 50);
 
-	// apply data to the world
+	// apply terrain data to the world
+	RegMemFun(this, &CMapReader::ApplyTerrainData, L"CMapReader::ApplyTerrainData", 5);
+
+	// read entities
+	RegMemFun(this, &CMapReader::ReadXMLEntities, L"CMapReader::ReadXMLEntities", 5800);
+
+	// apply misc data to the world
 	RegMemFun(this, &CMapReader::ApplyData, L"CMapReader::ApplyData", 5);
 
 	// load map settings script (must be done after reading map)
@@ -189,10 +195,13 @@ void CMapReader::LoadRandomMap(const CStrW& scriptFile, const CScriptValRooted&
 	// parse RMS results into camera settings
 	RegMemFun(this, &CMapReader::ParseCamera, L"CMapReader::ParseCamera", 5);
 
+	// apply terrain data to the world
+	RegMemFun(this, &CMapReader::ApplyTerrainData, L"CMapReader::ApplyTerrainData", 5);
+
 	// parse RMS results into entities
 	RegMemFun(this, &CMapReader::ParseEntities, L"CMapReader::ParseEntities", 1000);
 
-	// apply data to the world
+	// apply misc data to the world
 	RegMemFun(this, &CMapReader::ApplyData, L"CMapReader::ApplyData", 5);
 
 	// load map settings script (must be done after reading map)
@@ -264,8 +273,7 @@ int CMapReader::UnpackTerrain()
 	return 0;
 }
 
-// ApplyData: take all the input data, and rebuild the scene from it
-int CMapReader::ApplyData()
+int CMapReader::ApplyTerrainData()
 {
 	if (m_PatchesPerSide == 0)
 	{
@@ -296,6 +304,16 @@ int CMapReader::ApplyData()
 		}
 	}
 
+	CmpPtr<ICmpTerrain> cmpTerrain(*pSimContext, SYSTEM_ENTITY);
+	if (cmpTerrain)
+		cmpTerrain->ReloadTerrain();
+
+	return 0;
+}
+
+// ApplyData: take all the input data, and rebuild the scene from it
+int CMapReader::ApplyData()
+{
 	// copy over the lighting parameters
 	if (pLightEnv)
 		*pLightEnv = m_LightEnv;
@@ -327,10 +345,6 @@ int CMapReader::ApplyData()
 		}
 	}
 
-	CmpPtr<ICmpTerrain> cmpTerrain(*pSimContext, SYSTEM_ENTITY);
-	if (cmpTerrain)
-		cmpTerrain->ReloadTerrain();
-
 	return 0;
 }
 
@@ -398,8 +412,11 @@ public:
 
 	CStr ReadScriptSettings();
 
+	// read everything except for entities
+	void ReadXML();
+
 	// return semantics: see Loader.cpp!LoadFunc.
-	int ProgressiveRead();
+	int ProgressiveReadEntities();
 
 private:
 	CXeromyces xmb_file;
@@ -1074,17 +1091,11 @@ int CXMLReader::ReadEntities(XMBElement parent, double end_time)
 	return 0;
 }
 
-int CXMLReader::ProgressiveRead()
+void CXMLReader::ReadXML()
 {
-	// yield after this time is reached. balances increased progress bar
-	// smoothness vs. slowing down loading.
-	const double end_time = timer_Time() + 200e-3;
-
-	int ret;
-
-	while (node_idx < nodes.Count)
+	for (int i = 0; i < nodes.Count; ++i)
 	{
-		XMBElement node = nodes.Item(node_idx);
+		XMBElement node = nodes.Item(i);
 		CStr name = xmb_file.GetElementString(node.GetNodeName());
 		if (name == "Terrain")
 		{
@@ -1100,16 +1111,11 @@ int CXMLReader::ProgressiveRead()
 		}
 		else if (name == "ScriptSettings")
 		{
-			//Already loaded - this is to prevent an assertion
+			// Already loaded - this is to prevent an assertion
 		}
 		else if (name == "Entities")
 		{
-			if (!m_MapReader.m_SkipEntities)
-			{
-				ret = ReadEntities(node, end_time);
-				if (ret != 0)	// error or timed out
-					return ret;
-			}
+			// Handled by ProgressiveReadEntities instead
 		}
 		else if (name == "Paths")
 		{
@@ -1129,6 +1135,30 @@ int CXMLReader::ProgressiveRead()
 			debug_printf(L"Invalid XML element in map file: %hs\n", name.c_str());
 			debug_warn(L"Invalid map XML data");
 		}
+	}
+}
+
+int CXMLReader::ProgressiveReadEntities()
+{
+	// yield after this time is reached. balances increased progress bar
+	// smoothness vs. slowing down loading.
+	const double end_time = timer_Time() + 200e-3;
+
+	int ret;
+
+	while (node_idx < nodes.Count)
+	{
+		XMBElement node = nodes.Item(node_idx);
+		CStr name = xmb_file.GetElementString(node.GetNodeName());
+		if (name == "Entities")
+		{
+			if (!m_MapReader.m_SkipEntities)
+			{
+				ret = ReadEntities(node, end_time);
+				if (ret != 0)	// error or timed out
+					return ret;
+			}
+		}
 
 		node_idx++;
 	}
@@ -1170,13 +1200,23 @@ int CMapReader::LoadMapSettings()
 	return 0;
 }
 
-// progressive
 int CMapReader::ReadXML()
 {
 	if (!xml_reader)
 		xml_reader = new CXMLReader(filename_xml, *this);
 
-	int ret = xml_reader->ProgressiveRead();
+	xml_reader->ReadXML();
+
+	return 0;
+}
+
+// progressive
+int CMapReader::ReadXMLEntities()
+{
+	if (!xml_reader)
+		xml_reader = new CXMLReader(filename_xml, *this);
+
+	int ret = xml_reader->ProgressiveReadEntities();
 	// finished or failed
 	if (ret <= 0)
 	{
diff --git a/source/graphics/MapReader.h b/source/graphics/MapReader.h
index 3d61fc042f..e224162e1d 100644
--- a/source/graphics/MapReader.h
+++ b/source/graphics/MapReader.h
@@ -79,10 +79,14 @@ private:
 
 	// ApplyData: take all the input data, and rebuild the scene from it
 	int ApplyData();
+	int ApplyTerrainData();
 
-	// ReadXML: read some other data (entities, etc) in XML format
+	// read some misc data from the XML file
 	int ReadXML();
 
+	// read entity data from the XML file
+	int ReadXMLEntities();
+
 	// clean up everything used during delayed load
 	int DelayLoadFinished();