can't check out/update to root of windows drive with an external present. bug?

I'm updating a checkout that's been made to the root of a windows drive (don't ask, it just has to be that way..)

The repository has an external at the top level; however, that external will not check out - after a long pause, an error occurs:

Command Update
Updating K:\
External K:\ImageDownload
External failed K:\ImageDownload
Error Can't make directory 'K:\': Access is denied.
Completed K:\ImageDownload - at revision: 19

If I check out this repository to anywhere other than the drive root, the external works.

This is TortoiseSVN 1.7.12 Build 24070.

Same happens with the command line tools:

K:\>svn update
Updating '.':

Fetching external item into 'ImageDownload':
svn: warning: W720005: Can't make directory 'K:\': Access is denied.

At revision 19.
svn: E205011: Failure occurred processing one or more externals definitions

K:\>svn --version
svn, version 1.7.9 (r1462340)
   compiled Mar 29 2013, 08:15:29
(... rest deleted)

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Received on 2013-05-10 15:35:27 CEST