TFS 2008: Create Project Fails

If you encounter the following error:

Event Description: TF30162: Task "SharePointPortal" from Group "Portal" failed
Exception Type: Microsoft.TeamFoundation.Client.PcwException
Exception Message: The Project Creation Wizard encountered an error while uploading documents to the Windows SharePoint Services server on tfs2008.domain.local.
Exception Details: The Project Creation Wizard encountered a problem while uploading
documents to the Windows SharePoint Services server on tfs2008.domain.local.
The reason for the failure cannot be determined at this time.
Because the operation failed, the wizard was not able to finish
creating the Windows SharePoint Services site.
Stack Trace:
   at Microsoft.VisualStudio.TeamFoundation.WssSiteCreator.Execute(ProjectCreationContext context, XmlNode taskXml)
   at Microsoft.VisualStudio.TeamFoundation.ProjectCreationEngine.TaskExecutor.PerformTask(IProjectComponentCreator componentCreator, ProjectCreationContext context, XmlNode taskXml)
   at Microsoft.VisualStudio.TeamFoundation.ProjectCreationEngine.RunTask(Object taskObj)
—   Inner Exception   —
Exception Type: System.Web.Services.Protocols.SoapException
Exception Message: Exception of type ‘Microsoft.SharePoint.SoapServer.SoapServerException’ was thrown.
SoapException Details: <detail><errorstring xmlns="http://schemas.microsoft.com/sharepoint/soap/">Value does not fall within the expected range.</errorstring></detail>

Knowledgebase Article

To fix the problem follow the steps in the following support article from Microsoft related to Windows SharePoint Service 3.0 (WSS):

TFS2008: cannot create team project, "Value does not fall within the expected range"

Cause

Windows SharePoint Services 3.0 Alternative Access Mapping isn’t set correctly for server name to be resolved correctly.