What comes first the abatement or the fix?

[Virginia Harris]

My business partner and I are rehabbing a house in Los Angeles.  We were 80% completed when we got a surprise visit by an inspector. The property has a back unit which was there when we purchased the property. Our plan was to turn it into a rec room and not count the square footage. The inspector filed an abatement on the title and now we have to hire an architect and engineer to inspect the back unit to make sure it was built to code and we have to get permits for the entire rehab, front house included.  We are now in need of additional funds to do all this. We have a lender but they don't want to make the loan until the abatement is removed.  We checked with the City, but they won't remove the abatement until everything is done they require. Has anyone experienced this situation? Any advise on what to do?