I am having an issue setting up a local site.
The project is using ASP.NET Framework 4.0 and I have my DefaultAppPool to use 4.0 with Managed Pipeline Mode as Integrated
You must register IIS to framework 4 to execute it correctly. You must follow the start menu as given below to get VS(installed version) command prompt Start->All Programs -> Microsoft Visual Studio (installed version)->Visual Studio Tools -> Visual Studio Command Prompt(installed version)
For details try below link : https://forums.asp.net/t/1587832.aspx?Problem+with+ExecuteRequestHandler+in+iis7