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Thanks for the PR!

This UI is quite different from other blocks' UI, so it definitely needs some custom styling 😅

It's mostly good, but here are some suggestions for improving the code quality.

We can apply a class name directly to the Notice component:

{ submenuAccessibilityNotice && (
	<Notice
		className="wp-block-navigation__submenu-accessibility-notice"
		spokenMessage={ null }
		status="warning"
		isDismissible={ false }
	>
		{ submenuAccessibilityNotice }
	</Notice>
) }

The classname with .components- prefix should be avoided as much as possible. We may be able to avoid this by using a stack-based approach, like this:

{ overlayMenuPreview && (
	<VStack
		id={ overlayMenuPreviewId }
		spacing={ 4 }
		style={ {
			gridColumn: 'span 2',
		} }
	>
		<OverlayMenuPreview
			setAttributes={ setAttributes }
			hasIcon={ hasIcon }
			icon={ icon }
			hidden={ ! overlayMenuPreview }
		/>
	</VStack>
) }