Still attempting the install on a fresh Virtual PC. The last time I tried the install, I attempted to be slick and copy an existing SQL Server 2005 Virtual Machine I had and rename it. That led to a host of problems, including the fact that while SQL Server 2005 undergoes the rename of a server more gracefully, the reporting services component needs to manually be repointed back to the new database name. Still, even after that I had issues, so I built a Virtual Machine from scratch, installed SQL Server, IIS, SMTP, reconfigured SQL Servr (Since its the dev edition) to listen on TCP/IP and then began installing Team Foundation Server. Everything went great and I did not encounter the errors I had before until I got the one described at ths post:
Error 28905. WiDbLoc: Could not list of fields to localize from the database
This is a fantastic post because it did everything I tried. However, it says to restart SQL Server 2005's SQL Server Service after TCP/IP reconfiguration. It apparently doesn't sense it or doesn't take effect until the service is restarted. Everythings going smoothly now.