You don't mention this explicitly, so have you tried just using aliases?  I.e. creating a folder which represents your old project folder, and then aliasing things from there?

Using Favorites with aliases is not a suitable substitute for several reasons.

Can you give the reasons?  They might be easy to get around using new features of TM2, or by adding new features to TM2 which don't rely on the project construct.

I do agree with the project removal changes, even though I did use the feature a lot; but this is likely because I have managed to adapt my setup, and it now works better than in TM1.

David.