To resolve this, we have already tried the following steps:
Closed all UiPath applications (Studio, Assistant, Executor).
Verified that no UiPath processes were running in the background.
Used Resource Monitor and identified that the DLL was previously locked by explorer.exe (process ended).
Restarted Windows Explorer and attempted the build again.
Restarted the VM completely to release all locked handles.
Tried deleting and renaming the .local folder, but it still shows access denied.
Confirmed that OneDrive is not involved.
Despite performing all the above steps, the error persists, and the project cannot be compiled.
Requesting your support to investigate and help resolve this issue.
Please let us know if any additional permissions or actions are required from our side.