[4] After the deal closed in January 2017, asbestos was discovered, complicating needed renovation work and delaying the move of workers into the building.

In August 2018, the San Diego City Council approved a Faulconer administration plan to invest an additional $30 million into the site for renovations.

[5][6] In September 2020, the city suspended monthly lease payments due to a lawsuit brought by a resident seeking to nullify the original contract and recover taxpayer losses.

San Diego City Attorney Mara Elliott, who approved the initial deal, had urged the council to reject the proposal.

[2] The city recouped an additional $9.4 million in March 2023 after suing Jason Hughes, the real estate broker on the original deal.