This is one of the few hitches you may come across when deploying to IIS from Octopus Deploy:

Cannot create a file when that file already exists. (Exception from HRESULT: 0x800700B7)

This error simply means something is already running on the port number that you are planning on using (and that probably means the default website is already using a binding with port 80, and you are attempting to add another website or application with a binding to port 80).

You can choose from the following options…

• Stop and remove the default website
• Use a host header and port number for your bindings, rather than *:80
• Use a different port number
• Use multiple IP addresses and bind different IP addresses to the two competing websites