A couple of potential problems from the log,

"2005-05-03 15:32:30.26 server SQL server listening on Shared Memory, Named Pipes."

You might need to enable the TCP/IP protocol before SQL will listen on a TCP port

Also, an unrelated issue,

"2005-05-03 15:32:30.28 spid3 Server name is 'HM-ISDEV08'."

It's not exactly wise to have a hyphenated name for the server.