Killarney Courthouse has been labelled a major eyesore following the cancellation of refurbishment plans because of lack of agreement on the scope of the public land to be used for an extension.
The Courts Service undertook three years ago to upgrade and extend the courthouse, and €1.6 million was set aside.
That money has now been spent elsewhere after a failure to devise plans. In the meantime offices are being rented at a distance from the courthouse, and the conditions of the courthouse itself are highly unsatisfactory, according to local solicitor Pat F O'Connor.
Mr O Connor, a former councillor, said fungus was growing on the walls and ceiling of the consulting rooms.
A Courts Service spokesman said plans were now being redrawn, but he could not say when money would become available to carry out the work.
Local councillor Michael Gleeson said the appearance of the courthouse continued to deteriorate.
"This is the first public building of importance on the way into a leading tourist town and it is in urgent need of upgrading," he said.
"It is very sad that it is a State-owned building which is probably the major eyesore."
Town clerk Michael O'Leary said council officials and Courts Service officials had met to discuss the plans. There had been correspondence between them, but this had been unsatisfactory.
A Courts Service spokesman said plans for the courthouse had been finalised three years ago but the council had expressed concerns about the plans and clarification had been sought about the extent and scope of the land to be built on. The plans were now being redrawn, he added.