In this case, Panorama is simply passing the title to a macOS API to display the dialog. Apple still documents that you can specify a title, but macOS no longer displays the title. You may notice that the documentation says that the title is displayed in the dialogs drag bar. If you look closely, there IS no drag bar for this dialog any more, so there is nowhere to display the title.
I have submitted a documentation correction to mention that the title is not displayed in recent versions of macOS.
You can still set the button name, so you could make that Choose Folder or something similar.