A council official has defended the decision to use an old building to house children with special needs.
Palmeira House in Hove was identified by Brighton and Hove City Council as suitable for its partners, NCH Action for Children.
It ended in tears when costs at the home spiralled and there was a decision to close the home.
But parents went to the High Court to challenge the decision and an agreement was reached to maintain the home despite the costs.
Brighton and Hove City Council is now holding a scrutiny investigation into what went wrong.
Allan Bowman, social care director, told a scrutiny panel at Hove Town Hall: "It can be very hard to find a suitable property for any group."
He was answering questions from panel members who said some previous members had said Palmeira House was not a very suitable property for the children and the layout meant extra staff were required.
Mr Bowman said NCH had a wholehearted commitment to providing an excellent service for the children.
He added: "My experience is that if you have the money you can do anything with any building."
Councillors asked whether it was unusual the council had to pay £78,000 on the building for adaptations even though it did not own the house and the contract was short.
Mr Bowman said: "There is often a continuing need to adapt buildings in line with the needs of children, if if the buildings are new."
NCH earlier told the inquiry they found it hard to plan the project as the council often changed the specification of the children who would be using it.
Mr Bowman said decisions were taken in conjunction with NCH about the needs for the children.
The inquiry continues.
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