Figure a few more things out an here they are. This is VS2003 related, not MSBuild issues.
1. VSDevEnv and 7.1 Task fails with "Debug|Any CPU" Config on x64 Machine
How to Fix: remove "|Any CPU"
2. VSDevEnv and 7.1 cannot build Database projects. It hangs on MSbuild becaused the project the build server VS2003 IDE Is trying to establish a connection.
How to Fix: Make sure you only build the vbproj you want instead of building from the solution file.
