Failed to start build runner 'Maven2'

We're getting an error "Failed to start build running 'Maven2'" after upgrading to the latest version of TeamCity from 6.5.
We had upgraded our pom files to run maven 3 and got it working. We then upgraded TeamCity since it has bundled support for maven 3 and are now failing.

[15:29:33]Failed to start build runner 'Maven2'
java.lang.IllegalArgumentException: Invalid uri 'http://repo1.maven.org/maven2/com/fbi/fishbowl/${project.parent.version}/fishbowl-${project.parent.version}.pom': escaped absolute path not valid
     at hidden.org.apache.commons.httpclient.HttpMethodBase.<init>(HttpMethodBase.java:219)
     at hidden.org.apache.commons.httpclient.methods.GetMethod.<init>(GetMethod.java:88)
     at org.apache.maven.wagon.shared.http.AbstractHttpClientWagon.fillInputData(AbstractHttpClientWagon.java:547)
     at org.apache.maven.wagon.StreamWagon.getInputStream(StreamWagon.java:116)
     at org.apache.maven.wagon.StreamWagon.getIfNewer(StreamWagon.java:88)
     at org.apache.maven.wagon.StreamWagon.get(StreamWagon.java:61)
     at org.apache.maven.artifact.manager.DefaultWagonManager.getRemoteFile(DefaultWagonManager.java:546)
     at org.apache.maven.artifact.manager.DefaultWagonManager.getArtifact(DefaultWagonManager.java:427)
     at org.apache.maven.artifact.manager.DefaultWagonManager.getArtifact(DefaultWagonManager.java:382)
     at org.apache.maven.artifact.resolver.DefaultArtifactResolver.resolve(DefaultArtifactResolver.java:216)
     at org.apache.maven.artifact.resolver.DefaultArtifactResolver.resolve(DefaultArtifactResolver.java:90)
     at org.apache.maven.project.DefaultMavenProjectBuilder.findModelFromRepository(DefaultMavenProjectBuilder.java:558)
     at org.apache.maven.project.DefaultMavenProjectBuilder.assembleLineage(DefaultMavenProjectBuilder.java:1392)
     at org.apache.maven.project.DefaultMavenProjectBuilder.buildInternal(DefaultMavenProjectBuilder.java:823)
     at org.apache.maven.project.DefaultMavenProjectBuilder.buildFromSourceFileInternal(DefaultMavenProjectBuilder.java:508)
     at org.apache.maven.project.DefaultMavenProjectBuilder.build(DefaultMavenProjectBuilder.java:200)
     at org.apache.maven.DefaultMaven.getProject(DefaultMaven.java:604)
     at org.apache.maven.DefaultMaven.collectProjects(DefaultMaven.java:487)
     at org.apache.maven.DefaultMaven.collectProjects(DefaultMaven.java:560)
     at org.apache.maven.DefaultMaven.collectProjects(DefaultMaven.java:560)
     at org.apache.maven.DefaultMaven.getProjects(DefaultMaven.java:391)
     at sun.reflect.NativeMethodAccessorImpl.invoke0(Native Method)
     at sun.reflect.NativeMethodAccessorImpl.invoke(Unknown Source)
     at sun.reflect.DelegatingMethodAccessorImpl.invoke(Unknown Source)
     at java.lang.reflect.Method.invoke(Unknown Source)
     at org.jetbrains.maven.embedder.MavenEmbedder.readProject(MavenEmbedder.java:330)
     at org.jetbrains.maven.embedder.MavenEmbedder.readProjectWithModules(MavenEmbedder.java:310)
     at jetbrains.maven.MavenBuildService.readMavenProject(MavenBuildService.java:643)
     at jetbrains.maven.MavenBuildService.sessionStarted(MavenBuildService.java:180)
     at jetbrains.buildServer.agent.runner2.GenericCommandLineBuildProcess.start(GenericCommandLineBuildProcess.java:62)
     at jetbrains.buildServer.agent.impl.buildStages.runnerStages.start.CallRunnerStage.doBuildStage(CallRunnerStage.java:56)
     at jetbrains.buildServer.agent.impl.buildStages.RunnerStagesExecutor$1.callStage(RunnerStagesExecutor.java:25)
     at jetbrains.buildServer.agent.impl.buildStages.RunnerStagesExecutor$1.callStage(RunnerStagesExecutor.java:18)
     at jetbrains.buildServer.agent.impl.buildStages.StagesExecutor.callRunStage(StagesExecutor.java:76)
     at jetbrains.buildServer.agent.impl.buildStages.StagesExecutor.doStages(StagesExecutor.java:36)
     at jetbrains.buildServer.agent.impl.buildStages.RunnerStagesExecutor.doStages(RunnerStagesExecutor.java:18)
     at jetbrains.buildServer.agent.impl.buildStages.startStages.RunnerContextExecutor.callRunnerStages(RunnerContextExecutor.java:40)
     at jetbrains.buildServer.agent.impl.buildStages.startStages.ForEachBuildRunnerStage.doBuildStage(ForEachBuildRunnerStage.java:68)
     at jetbrains.buildServer.agent.impl.buildStages.BuildStagesExecutor$1.callStage(BuildStagesExecutor.java:31)
     at jetbrains.buildServer.agent.impl.buildStages.BuildStagesExecutor$1.callStage(BuildStagesExecutor.java:24)
     at jetbrains.buildServer.agent.impl.buildStages.StagesExecutor.callRunStage(StagesExecutor.java:76)
     at jetbrains.buildServer.agent.impl.buildStages.StagesExecutor.doStages(StagesExecutor.java:36)
     at jetbrains.buildServer.agent.impl.buildStages.BuildStagesExecutor.doStages(BuildStagesExecutor.java:24)
     at jetbrains.buildServer.agent.impl.BuildRunAction.doStages(BuildRunAction.java:70)
     at jetbrains.buildServer.agent.impl.BuildRunAction.runBuild(BuildRunAction.java:50)
     at jetbrains.buildServer.agent.impl.BuildAgentImpl.doActualBuild(BuildAgentImpl.java:242)
     at jetbrains.buildServer.agent.impl.BuildAgentImpl.access$100(BuildAgentImpl.java:47)
     at jetbrains.buildServer.agent.impl.BuildAgentImpl$1.run(BuildAgentImpl.java:215)
     at java.lang.Thread.run(Unknown Source)