I am trying to deploy a .NET Web application to IIS (7.5) without any hassle for the users. I have made sure that Disable Overlapped Recycle is False b
I agree with Smirkin's response - updating a second folder and changing the IIS home directory to point to the other folder. Another advantage to this is that you have an easy rollback path (just switch the IIS home directory back).
I've written a post with a script on how to do this using Powershell - hope it helps: http://davidduffett.net/post/4833657659/blue-green-deployment-to-iis-with-powershell
You should be able to use this script directly from your continuous integration system.