Grails Plugin in STS .project file

I have a Grails 1.2.2 project kept in the version control system (Git). It utilizes several Grails plugins. When imported to STS, Grails plugin dependencies are resolved and shown properly in corresponding branch within the Package Explorer as well as project configuration. The problem seems to be with the .project file which at the end contains all the linked dependencies with "hard-coded" paths - which in the case of plugins happened to be user home directory (on Windows). When the file is commited back to Git, the next developer who download the code has the project loaded with link pointing to wrong directories.

Is this an intentional behavior or a bug? If intentional, what is the recommended best practice for handling .project and .classpath path shared via version control system across the team?

Thanks

-Alesh Bukovsky-