diff --git a/libs/remix-ui/workspace/src/lib/remix-ui-workspace.tsx b/libs/remix-ui/workspace/src/lib/remix-ui-workspace.tsx
index ea6d530041..f0b25251f6 100644
--- a/libs/remix-ui/workspace/src/lib/remix-ui-workspace.tsx
+++ b/libs/remix-ui/workspace/src/lib/remix-ui-workspace.tsx
@@ -1116,14 +1116,19 @@ export function Workspace() {
                         {selectedWorkspace ? selectedWorkspace.name === LOCALHOST ? togglerText : selectedWorkspace.name : currentWorkspace === LOCALHOST ? formatNameForReadonly('localhost') : NO_WORKSPACE}
                       </Dropdown.Toggle>
                       <Dropdown.Menu as={CustomMenu} className="w-100 custom-dropdown-items" data-id="custom-dropdown-items">
-                        {currentWorkspace === LOCALHOST && <Dropdown.Item
+                        {currentWorkspace !== LOCALHOST && <Dropdown.Item
                           onClick={() => {
                             switchWorkspace(LOCALHOST)
                           }}
                         >
                           {currentWorkspace === LOCALHOST ? (
                             <span>&#10003; Connected to Local Filesystem </span>
-                          ) : null}
+                          ) :
+                            <span className="pl-3">
+                              {' '}
+                              <FormattedMessage id="filePanel.connectToLocalhost" />{' '}
+                            </span>
+                          }
                         </Dropdown.Item>}
                         <ShowNonLocalHostMenuItems />
                         {(global.fs.browser.workspaces.length <= 0 || currentWorkspace === NO_WORKSPACE) && (