Compile log:
** Executing...
** Command: "c:\program files\steam\steamapps\e1025\sourcesdk\bin\orangebox\bin\vbsp.exe"
** Parameters: -game "c:\program files\steam\steamapps\e1025\portal\portal" "C:\Program Files\Steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02"
Valve Software - vbsp.exe (Sep 21 2007)
2 threads
materialPath: c:\program files\steam\steamapps\e1025\portal\portal\materials
Loading C:\Program Files\Steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02.vmf
"materials/glass/glasswindow_refract01.vtf": cached version doesn't exist
Error: displacement found on a(n) func_detail entity - not supported (entity 957, brush 0)
** Executing...
** Command: "c:\program files\steam\steamapps\e1025\sourcesdk\bin\orangebox\bin\vvis.exe"
** Parameters: -game "c:\program files\steam\steamapps\e1025\portal\portal" "C:\Program Files\Steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02"
Valve Software - vvis.exe (Nov 8 2007)
2 threads
reading c:\program files\steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02.bsp
reading c:\program files\steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02.prt
LoadPortals: couldn't read c:\program files\steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02.prt
** Executing...
** Command: "c:\program files\steam\steamapps\e1025\sourcesdk\bin\orangebox\bin\vrad.exe"
** Parameters: -game "c:\program files\steam\steamapps\e1025\portal\portal" "C:\Program Files\Steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02"
Valve Software - vrad.exe SSE (Nov 8 2007)
Valve Radiosity Simulator
2 threads
[Reading texlights from 'lights.rad']
[53 texlights parsed from 'lights.rad']
Loading c:\program files\steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02.bsp
No vis information, direct lighting only.
Setting up ray-trace acceleration structure... Done (4.13 seconds)
3911 faces
307284 square feet [44248928.00 square inches]
0 Displacements
0 Square Feet [0.00 Square Inches]
sun extent from map=0.000000
153 direct lights
BuildFacelights: 0...1...2...3...4...5...6...7...8...9...10 (55)
Build Patch/Sample Hash Table(s).....Done<0.0130 sec>
FinalLightFace: 0...1...2...3...4...5...6...7...8...9...10 (10)
FinalLightFace Done
42 of 81 (51% of) surface lights went in leaf ambient cubes.
ThreadComputeLeafAmbient: 0...1...2...3...4...5...6...7...8...9...10 (68)
Writing leaf ambient...done
Ready to Finish
Object names Objects/Maxobjs Memory / Maxmem Fullness
------------ --------------- --------------- --------
models 110/1024 5280/49152 (10.7%)
brushes 1590/8192 19080/98304 (19.4%)
brushsides 10915/65536 87320/524288 (16.7%)
planes 5640/65536 112800/1310720 ( 8.6%)
vertexes 9761/65536 117132/786432 (14.9%)
nodes 4377/65536 140064/2097152 ( 6.7%)
texinfos 1309/12288 94248/884736 (10.7%)
texdata 101/2048 3232/65536 ( 4.9%)
dispinfos 0/0 0/0 ( 0.0%)
disp_verts 0/0 0/0 ( 0.0%)
disp_tris 0/0 0/0 ( 0.0%)
disp_lmsamples 0/0 0/0 ( 0.0%)
faces 3911/65536 219016/3670016 ( 6.0%)
hdr faces 0/65536 0/3670016 ( 0.0%)
origfaces 2998/65536 167888/3670016 ( 4.6%)
leaves 4488/65536 143616/2097152 ( 6.8%)
leaffaces 4928/65536 9856/131072 ( 7.5%)
leafbrushes 2989/65536 5978/131072 ( 4.6%)
areas 7/256 56/2048 ( 2.7%)
surfedges 31747/512000 126988/2048000 ( 6.2%)
edges 21091/256000 84364/1024000 ( 8.2%)
LDR worldlights 153/8192 13464/720896 ( 1.9%)
HDR worldlights 0/8192 0/720896 ( 0.0%)
leafwaterdata 3/32768 36/393216 ( 0.0%)
waterstrips 766/32768 7660/327680 ( 2.3%)
waterverts 0/65536 0/786432 ( 0.0%)
waterindices 13947/65536 27894/131072 (21.3%)
cubemapsamples 1/1024 16/16384 ( 0.1%)
overlays 151/512 53152/180224 (29.5%)
LDR lightdata [variable] 2195688/0 ( 0.0%)
HDR lightdata [variable] 0/0 ( 0.0%)
visdata [variable] 0/16777216 ( 0.0%)
entdata [variable] 141444/393216 (36.0%)
LDR ambient table 4488/65536 17952/262144 ( 6.8%)
HDR ambient table 4488/65536 17952/262144 ( 6.8%)
LDR leaf ambient 16510/65536 462280/1835008 (25.2%)
HDR leaf ambient 4488/65536 125664/1835008 ( 6.8%)
occluders 0/0 0/0 ( 0.0%)
occluder polygons 0/0 0/0 ( 0.0%)
occluder vert ind 0/0 0/0 ( 0.0%)
detail props [variable] 1/12 ( 8.3%)
static props [variable] 1/10102 ( 0.0%)
pakfile [variable] 222299/0 ( 0.0%)
physics [variable] 567258/4194304 (13.5%)
physics terrain [variable] 2/1048576 ( 0.0%)
Level flags = 0
Total triangle count: 12034
Writing c:\program files\steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02.bsp
2 minutes, 17 seconds elapsed
** Executing...
** Command: Copy File
** Parameters: "C:\Program Files\Steam\steamapps\e1025\sourcesdk_content\portal\mapsrc\Portal_Life02.bsp" "c:\program files\steam\steamapps\e1025\portal\portal\maps\Portal_Life02.bsp"
There must be some thing simple I'm over looking, any ideas what it is?

You have a leak. Please, try to fix simple and common issues like this first. And yes, the Interlopers error tool is a life saver.