Solved: Still have no idea why this happened but to fix it I re-wrote the level file manually (without copy and paste) and it fixed the issue. Still it was odd that it only happened with weapon items everything else was fine.
I have a strange bug right now before I could spawn my weapons just fine now if I spawn any weapon in its place the first declared model from models.txt will be spawned even if it is a player or enemy. Has anyone else every had this issue I am not sure what is causing it and could not reproduce it if I wanted.
Edit: weapons can still be spawned OK by script.