It’s really annoying. And the only kinda weird work around is to create an individual folder and place that track inside. This folder then behaves as normal in terms of sizing. If you take the track that had the in place editor opened and then closed, out of the folder, it then goes back to being large and expanded, even though the piano roll has been closed / collapsed.
You only have to activate the in place editor once and you’ll forever never be able to resize the track back down to normal size even when it is collapsed again.
video to show issue: https://imgur.com/5WYzFz7