We encountered this problem on one of our assembly machines. The construction machine was working fine one day and stopped. The only change was to complete the installation of Visual Studio 2010 Service Pack 1.
We suggested that MSBuild might have rolled over to the previous version.
So, we looked at this file on another build machine, and this section looked exactly like the one provided by Chevpp.
So, we went into the “programs and features” on the build machine and performed repairs on the TFS 2012 installation. This updated the Microsoft.TeamFoundation.Build.targets file to look like the fragment provided by Chev.
Now assemblies start correctly again.
Bubbleble
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