What are you supposed to do the when quest log tells you to “Watch out for the assassin at midnight”?
Late for the response, you probably already figured things out by now. For anyone else with the same question:
Before you can catch the intruder you have to talk to the noble that is staying at the nearby inn. His name starts with a P that’s all I remember. I had trouble getting to him, so I just broke into his room (first door up the stairs) and woke him up to speak with him.
Once you speak to him and make sure he is up to no good your quest should update.
Now wait near the engineer’s house at midnight and the intruder will arrive.
Once you spot the intruder you can then either confront him, or watch and see what he going to do. I would recommend waiting, as confronting him before he breaks in may have unforseen consequences further down the line.
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