This is for anyone who is having trouble upgrading Kendo in a project used by TFS (our is TFS 2013). Besides taking forever, the upgrade wizard never worked. I would get a "TF10210: Source control encountered an error during delete operation: Exception of type 'System.OutOfMemoryException' was thrown." message.
- Unbind from TFS. (File, Source Control, Change Source Control - choose unbind)
- Run Upgrade Wizard to completion.
- Rebind to TFS (File, Source Control, Change Source Control - choose bind)