I had the same problem with a failed installation using the web installer (although it reported success). But in my case, I already installed MVC4 before I tried to install MVC3.
I downloaded the standalone installer, which crashed with the same error as above. Then I tried both options for inserting the VS2010 DVD and changing the registry paths as described, but didn't work. Then I tried to remove the MVC3 stuff from the program and functions in the control panel first. This time the installation went further than before, but failed to install NuGet. So I uninstalled NuGet and ran the installer, this time with success! Then I had to reinstall NuGet by downloading the latest version from http://nuget.org/ .
Mike chamberlain
source share