Possibly, I've been thinking about this incorrectly, correct me if I am wrong.
I was wanting to switch from looking at a location centric view (Hosts & Clusters) for our users to a user centric view (VMs and Templates). Furthermore, I was wanting to 'link' the two where users could only create virtual machines on one Host with the VMs and Templates view. It seems that permissions is getting in the way whereas the same permissions under Hosts & Clusters worked fine.
Looks like I might have to revert back to use Hosts & Clusters as a main view for our users.
Thanks,
Johnathan