I upgraded my grails application from the command line from 1.1.1 to 1.1.2. After that succeeded I went back into STS and did a grails->refresh depdencies and then ran a build. The maven builder when into a very tight loop that eventually took down the entire system. Console.app reported thousands of messages similar to this:
12/4/09 Dec 4 2:49:48 PM [0x0-0x20020].org.eclipse.eclipse Plugin [hibernate-1.1.1] is installed, but was not found in the application's metadata, do you want to uninstall? (y, n)
Performing a build with maven from the command line showed the same message where I was able to select 'y' and now STS is happy again.