You may have noticed that the logging is different between TFS 2005 and TFS 2008. Indeed they have changed the verbosity level of the logging : it was normal for TFS 2005 and it is now diagnostic by default.
How can we control it to reset it to normal?
Simply by changing the value of some parameters that are sent to MSBuild. For that, you can simply edit the "TFSBuild.rsp" file that has been generated with your "TFSBuild.proj" file. See one example below :
# This is a response file for MSBuild
# Add custom MSBuild command line options in this file
# We can control here the "verbosity" level of the logging. The possible values are :
How can you know the possible switch you can set here and their values ? Simply check the MSBuild help. You can also refer to the blog of Aaron Hallberg and his post about verbosity.