Ideas for how to show autocomplete suggestions and validation messages in a clean way

I'm currently working on an assignment for a company that I'm applying to. I need to have a text input with a submit button that shows suggestions as the user types but it also needs to shows validation messages based on what the user types. I'm looking for suggestions on a clean way on how to show this.

Here's my current layout:

If it's not clear, the textbox is on the left with the suggestions under it, the submit button is in the middle and the validation message is on the right. I could put the validation message below the suggestions but that might look a bit crowded. Any other suggestions? It's not terrible the way it is but it looks a little awkward to me. Thanks!