GGTS Classpath won't recognize folder on classpath after gradle eclipse

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I'm trying to setup a Grails project in GGTS. I've generated the project and classpath files but I can't get past this error in getting the project to build:

The container 'Grails Dependencies' references non existing library 'C:\myProjects\project\target\work\plugin-classes'

That folder exists in the target directory. I can't run anything in GGTS because it won't build with that in there. And I can't figure out a way to remove it. Any way to fix that classpath error.

I'm on GGTS 3.6.4. Grails 2.5 and Groovy 2.4

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Burt Beckwith On

Right-click on the project root node in the tree on the left and select Grails Tools | Refresh Dependencies. You might need to switch to the Java perspective if that's not available.