
<!-- Common between Server / Client -->
<Compile Include="../../../Common/Domain.fs" />
<Compile Include="../../../Common/ServerUrls.fs" />
Uhhh... I'm using such project structure and haven't experienced similar problems
I copied the directory to reduce for a reproduction ...
Now the Project Explorer shows the full path __to the original directory__.

(The project is in ___D:\temp\repro#ionide#605\Client\GitToP4Client___).
Try F#: Clear cache and reload
In a quick test it happened also with a new project dotnet new lib -lang F#.
But it only collapses if the file was not already open.
If it was already open, then it just switches to the file and everything is ok.
I can repro
I can't repro with latest version of plugin. We might have fixed it while making other changes to solution explorer.