Windows – VS2012, TF30172 error when creating team project

We have been starting to use TFS2013 in our organization. We've got everything installed and have got our first Team Project Collection added and configured. But when attempting to create a new team project within the collection, I get the following error:

TF30172: You are trying to create a team project either without required permissions or with an older version of Team Explorer. Contact your project adminsitrator to check your permissions or to determine how to upgrade Team Explorer.

Now I just want to get out of the way that we have been trying this with Visual Studio 2012. I'm aware that there are a lot of existing threads with the same issue, but those were regarding older versions of VS.

Summary of our setup:

• VS 2012 (Fully updated with Update 3).
• TFS 2013 on Windows Server 2012 R2 Standard on dedicated server machine (within local network)
• All machines on windows domain.

I've made sure that my domain account that I am logged in as and am attempting to create the team project as is fully added to all TFS Project Collection groups. I've even added my domain account directly as an entry with full permissions. Yet I still obtain the above error. Note that up to this point, I am able to connect to the TFS server and view the project collections created, I just can't do anything more than that through VS2012.

Any thoughts or suggestions would be greatly appreciated as we are square out of ideas.