My current work-around for this is to build the KVM guest using grub2 and LVM encapsulation. For some reason grub2 has no issues installing when using that configuration.
1. Build using Ubuntu 9.10 or later server ISO
2. Select manually disk partitioning
3. Create a single primary partition for the entire disk
4. Configure that partition for LVM
5. Configure LVM to have a single vg (vg0) with one swap LV and one root filesystem LV.
My current work-around for this is to build the KVM guest using grub2 and LVM encapsulation. For some reason grub2 has no issues installing when using that configuration.
1. Build using Ubuntu 9.10 or later server ISO
2. Select manually disk partitioning
3. Create a single primary partition for the entire disk
4. Configure that partition for LVM
5. Configure LVM to have a single vg (vg0) with one swap LV and one root filesystem LV.