[FEATURE] Let a folder on a WSL path open as a Local (Windows) session

Preflight Checklist

• [x] I have searched existing requests and this feature hasn't been requested yet
• [x] This is a single feature request (not multiple features)

Problem Statement

On Windows, picking a folder that resolves to \\wsl.localhost\<distro> makes the Code tab
reopen the session inside that distribution. This is intentional and documented:

You can also open a \\wsl.localhost\... folder from the normal folder picker, and it reopens inside that distribution. — Claude Code Desktop in WSL

It applies to a mapped drive pointing at the distro too:

Status       Local     Remote                    Network
             Z:        \\wsl.localhost\Ubuntu    Plan 9 Network Provider

Opening Z:\home\me\project flips the environment from Local to Ubuntu and keys the
project as wsl:ubuntu:/home/me/project. There is no way to decline, and no setting to turn
it off.

It is not what you want in case of repos with cross-platform software. Mine is a single git repo at WSL that is mostly Linux, but also supports Windows and MSVC. That's why I need to open sometimes WSL folders as Windows folders.

Proposed Solution

An opt-out. Any of:

1. Offer "Open as Local session anyway" in the reopen flow — a prompt rather than a silent

switch — and remember the choice per folder.

1. A settings key: wslAutoReopen: false, or a per-path exclusion list.
2. Let Local stay selected in the environment picker for a WSL-backed folder.

Alternative Solutions

_No response_

Priority

Medium - Would be very helpful

Feature Category

Other

Use Case Example

_No response_

Additional Context

_No response_