ISAPI Authentication and VS.net create Project on remote server

[Mike]

I have a server that uses a corporate custom authentication method via
an ISAPI dll configured through IIS. The problem is that I am trying
to create an ASP.net project on that remote server from my PC and
vs.net is not able to recognize that there is some authentication
occuring there. The message I am getting back is as follows:

Visual Studio .NET has detected that the specified Web server is not
running ASP.NET version 1.1. You will be unable to run ASP.NET Web
applications or services.

Do I have something misconfigured or is there something really basic I
am missing?

Thanks for any responses.

Mike