The owner got a permit to build a garage, but the city says it's a second dwelling, which isn't allowed.
Runaway $25 million public investment now valued at $4.5 million, and federal loans must be repaid.
A private nonprofit board is looking for a buyer. The state and the city are looking for their loans to be repaid.
Residents of the Zion City neighborhood have seen a steady encroachment of commercial enterprises in what had been a residential area. The neighborhood is zoned for "light industrial," but Councilwoman LaToya Cantrell had the city create a special zoning district after construction started on the site without a permit.
With provision for artist studios and gallery space, Launch Pad's vision is closer to the original ArtWorks concept.
Landrieu wants the court to move into the former hospital, as co-tenants with City Hall.
The building has been appraised for $4.5 million, but local and state governments have loaned the project more than $9 million.
Inspectors looked at 53 sites, found 17 not in line with city ordinance.
Responses include a mall, something other than condos and, not surprisingly, a medical facility.
It's time to deal with financing of the courts while city leaders discuss Charity Hospital and a new courthouse.