VS2010 Build Error with New Installation of 7.0.4

[myvo04]

I am trying to install an "out of the box" version of AbleCommerce 7.0.4 and am using Visual Studio 2010 to build and compile my project. I created an empty ASP.NET web application project, changed the .NET Framework version to 3.5, copied the AbleCommerce 7.0.4 files into my project and attempted to build the site as-is (no custom changes) and receive the following errors. Again, I have not made any custom changes and it appears the errors I'm getting are because the classes in the App_Code folder are not being recognized. Any ideas why this is occuring?

Error 6 The type or namespace name 'PersistentItemEventHandler' could not be found (are you missing a using directive or an assembly reference?)
Error 7 The type or namespace name 'ISearchSidebarAware' could not be found (are you missing a using directive or an assembly reference?)
Error 14 The type or namespace name 'CheckingOutEventHandler' could not be found (are you missing a using directive or an assembly reference?)
Error 23 The type or namespace name 'CheckedOutEventHandler' could not be found (are you missing a using directive or an assembly reference?)
Error 44 The type or namespace name 'ErrorType' could not be found (are you missing a using directive or an assembly reference?)

[jmestep]

Why do you want to compile it? It isn't necessary unless you are creating your own dll for something in there.
If you really do want to compile it,check the property pages of your project and make sure the target framework is not 4.0. I have to change that to 3.5 every time I start working on a local Able test site in VS2010.

[myvo04]

I decided to try setting this up as a web site project rather than web application project and get a different build error instead.

• The name 'ScriptManager' does not exist in the current context. (\App_Code\PageHelper.cs, line 522)

I was able to correct the error by using "page.ClientScript" in place of "ScriptManager", but end with many different errors.

• The 'CodeFile' attribute cannot be used without an 'Inherits' attribute. (\Admin\Catalog\AddCategory.aspx) - error appears 78 times for this one page

• The 'CodeFile' attribute cannot be used without an 'Inherits' attribute. (\Admin\Catalog\AddLink.aspx) - error appears 91 times for this one page

• The type or namespace name 'ScriptManager' does not exist in the namespace 'System.Web.UI' (are you missing an assembly reference?) and The type or namespace name 'UpdateProgress' does not exist in the namespace 'System.Web.UI' (are you missing an assembly reference?) (\Admin\Catalog.master) and (\Admin.master)

• The type or namespace name 'UpdatePanel' does not exist in the namespace 'System.Web.UI' (are you missing an assembly reference?) (half a dozen different pages)