A formulation of the Loop Transfer Recovery (LTR) design problem using an H?? (sub-) optimality criterion is presented in this paper and state space formulae are given as its solution. The LTR problem is formulated as an H?? norm constraint for a recovery error which can be defined in two ways: either as a recovery error of the sensitivity function or as a recovery error of the input-output transfer function. Applying output feedback controllers we proceed from the recovery errors to an H?? state space formulation. The control problems corresponding to the two recovery error types are given as two different H?? state space problems. Each H?? problem is decomposed into the well known regular problem and a totally singular problem. The dynamics of the obtained controllers are at most of older 2n. Moreover, the H??/LTR method handles both minimum phase as well as non minimum phase systems in a common framework.