Cannot locate devcontainer.json when using multi-workspace config

[austinhallett]

• VSCode Version: 1.95.3
• Local OS Version: macOS 14.6.1
• Remote OS Version: Ubuntu 22.04 (jammy)
• Remote Extension/Connection Type: Containers/WSL/Server

• Logs:

[2024-12-09T18:14:55.927Z] Error: Dev container config (/home/prj/workspace/.devcontainer/devcontainer.json) not found.
[2024-12-09T18:14:55.927Z]     at TtA (/home/.vscode/extensions/ms-vscode-remote.remote-containers-0.388.0/dist/spec-node/devContainersSpecCLI.js:482:3225)
[2024-12-09T18:14:55.927Z]     at async iB (/home/.vscode/extensions/ms-vscode-remote.remote-containers-0.388.0/dist/spec-node/devContainersSpecCLI.js:482:4963)
[2024-12-09T18:14:55.927Z]     at async wrA (/home/.vscode/extensions/ms-vscode-remote.remote-containers-0.388.0/dist/spec-node/devContainersSpecCLI.js:663:203)
[2024-12-09T18:14:55.927Z]     at async DrA (/home/.vscode/extensions/ms-vscode-remote.remote-containers-0.388.0/dist/spec-node/devContainersSpecCLI.js:662:14830)
[2024-12-09T18:14:55.927Z]     at async /home/.vscode/extensions/ms-vscode-remote.remote-containers-0.388.0/dist/spec-node/devContainersSpecCLI.js:482:1190

Steps to Reproduce:

1. Create devcontainer from multi-workspace config (select either)

.devcontainer/
    ├── workspace1/
    │   └── devcontainer.json
    └── workspace2/
        └── devcontainer.json

2. Exit devcontainer
3. reopen the same devcontainer from the devcontainer panel

Does this issue occur when you try this locally?: Yes
Does this issue occur when you try this locally and all extensions are disabled?: Yes