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Error: Access is denied due to an ACL set on the requested resource

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Last Modified: 2012-05-05
I'm trying to configure an asp.net application on my localhost.  I created the virtual directory and when I browser the page, I get the following error:

HTTP Error 401.3 - Unauthorized: Access is denied due to an ACL set on the requested resource.

This appears to be a permission issue on the folder, but when I try to right click on the site name and select permissions, nothing comes up.  Shouldn't a permissions dialog box come up, where I can set permissions?

I'm running XP Professional x64.

Any help is appreciated.
Thanks.
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