Problem Updating archived FCPx Events to new FCPx 10.1

I've recently upgraded to FCP X 10.1. (I love all the improvements, but don't yet see the benefit of Libraries honestly :-)

I had some FCP Events stored on my Mac Hard drive and updated those to the new Libraries format along with the upgrade to 10.1. No problems. However, I didn't have my external drive connected at the time I upgraded. The external drive has hundreds of FCP Events. Now, I can't seem to upgrade the FCP Events to the new Libraries format in a bulk way.

It seems like FCPX 10.1 will support importing multiple old FCP Events into a new or existing library.

See http://support.apple.com/kb/HT5958

Q - Q- How do I update projects and events in a SAN location or folder?

A- Click the Locate button when you first open Final Cut Pro X 10.1, or choose File > Update Projects and Events.

However, when I hit the "Locate" button and navigate to the "Final Cut Events" folder on my external hard drive, it is un-selectable. And there is a message in the popup navigation window that says "The current selection is not valid. Choose another SAN location or folder" Any advice on how to get this working?