Yeah, the advantage of the location is that it can be seen off the Interstate, but I just don't see lots of Metry or St. Tammany people wanting to drive past a housing project to get there and I don't think the rich Uptown people are really enough to sustain a big project like that. But, I could be wrong.
Anyway, that entire area including the area on the other side of I-10 with the jail is all wasted and not a particularly good welcome to Downtown New Orleans. The rest of the stuff in that area is all warehouses like Kentwood and others so a float den would seem to make a lot of sense.