While construction is still ongoing, the Audit Office said it was doubtful whether the Titanic Signature Building would break even in the long term even though the £77m development is due to open in 2012, in time for the centenary of the sinking of the tragic but luxurious ship.
The Ulster Unionist Economy spokesperson, Mike Nesbitt, has expressed concern at the report by the Comptroller and Auditor General into the Titanic Signature Building and other signature projects in tourism.
Just days after he cast doubt on proposed European Union funding for the Belfast-based flagship project the Strangford MLA said: "This report makes for quite shocking reading. It makes clear the Titanic Signature Building's long term future is not beyond doubt; that the building cost was significantly higher than the alternative proposal put forward by the Odyssey Trust; that the Odyssey proposal would have delivered greater financial benefits over the long term; and that the building will be one of the most expensive relative to the number of visitors expected.
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"The Comptroller also confirms the fact the building was commissioned by Titanic Quarter Limited without an open competition.
"This is the issue that may prevent us from benefiting from European funding," he added.
"No one wants to see anything other than success in the short, medium and long term for all these Signature Projects.
"Tourism is a key growth sector for rebalancing our economy, but when you read the Comptroller's report, and the question marks he puts over these multi-million pound investments, you cannot but question and challenge the processes in play."
It is estimated that the Titanic building in Belfast will need 290,000 visitors a year to break even.
But the spending watchdog has cast doubt over the long-term success of the project, despite it being the largest single tourism project undertaken in Northern Ireland.
The report accepts indications that the attraction will be popular initially but there is doubt it will consistently reach or exceed the numbers required for years to come.
It also said that the value-for-money of the building is currently open to question.
The Audit Office measured the potential performance of the building by looking at the money spent divided by the number of visitors it will attract.
The report has also raised concerns over the new Giant's Causeway Visitor Centre because of a similar difficulty in predicting tourism numbers.
The new visitors centre at the Giants Causeway is due to open in June and the Tourist Board has invested £9m in it.
The auditors said that to cover its costs the visitors centre needs to bring in £1.6m a year.
See: 'Titanic Catalogue' Of Failures Criticised
(BMcC)
