I created new build definition and had following error message when I tried to build.
error MSB4023: Cannot evaluate the item metadata “%(FullPath)”. The item metadata “%(FullPath)” cannot be applied to the path “”
Looking at it closely found that TFS Build has limitation of handling path length of up to 260 characters.
Presently I renamed my build definition such that it brings physical path to just under 260 characters.
Ideally source code file names will not be so long that it will make full path longer than 260 characters. However, it may not be possible at a particular point in time of project.
ujjavalsuthar 