env listed as parent folder name

During PyCon user got into this state. I think this was right after install & a reload we weren't able to get this to show up again and instead listed it under `.venv`. Can't provide logs and stuff but maybe more a tracking issue to see if we see this in the future

<img width="948" alt="Image" src="https://github.com/user-attachments/assets/61e61ffe-4ba7-4055-aba8-4d57362590a5" />
