serverless-plugin-typescript not working with serverless-compose

[vparkov]

There are 2 issues when using serverless-plugin-typescript in combination with serverless compose:

For context, this is my folder structure:
/api
handler.ts
serverless.yml
package.json
serverless-compose.yml

I have taken it from this minimal repo setup, have removed the react app, and have added typescirpt - https://github.com/serverless/compose-website-example

serverless-compose.yml

services:
  demo-api:
    path: api

package.json

{
  "dependencies": {
    "@serverless-components/website": "^0.1.0",
    "@serverless/compose": "^1.2"
  },
  "devDependencies": {
    "@types/aws-lambda": "^8.10.101",
    "serverless-offline": "^8.8.0",
    "serverless-plugin-optimize": "^4.2.1-rc.1",
    "serverless-plugin-typescript": "^2.1.2"
  }
}

/api/handler.ts

import { APIGatewayProxyEvent, APIGatewayProxyResult } from 'aws-lambda';

export const handler = async (event: APIGatewayProxyEvent): Promise<APIGatewayProxyResult> => {
  return {
    statusCode: 200,
    body: JSON.stringify({ message: 'success' }),
    headers: {
      'Access-Control-Allow-Origin': '*',
      'Access-Control-Allow-Credentials': true,
    },
  }
};

/api/serverless.yml

service: demo-api
frameworkVersion: "3"

plugins:
  - serverless-plugin-typescript
  - serverless-offline

provider:
  name: aws
  runtime: nodejs16.x

functions:
  hello:
    handler: handler.handler
    events:
      - httpApi:
          method: GET
          path: /api/hello

1. Running sls api:offline for the second time exits with the error below. The first execution is succeeding, as it generates the .build folder within /api.

Compiling with Typescript...
Typescript compiled.
Environment: darwin, node 16.13.1, framework 3.19.0 (local), plugin 6.2.2, SDK 4.3.2
Docs:        docs.serverless.com
Support:     forum.serverless.com
Bugs:        github.com/serverless/serverless/issues

Error:
Error: EEXIST: file already exists, symlink '/***/compose-website-example/fullstack-app/api/node_modules' -> '/***/compose-website-example/fullstack-app/api/.build/node_modules'
Error: 

2. Running sls deploy is also failing because it is expecting the node_modules folder at the wrong place

Deploying to stage dev
demo-api › waiting
demo-api › deploying
demo-api › Running "serverless deploy --stage dev"
demo-api › Deploying demo-api to stage dev (us-east-1)
demo-api › Compiling with Typescript...
demo-api › Typescript compiled.
demo-api › × Stack demo-api-dev failed to deploy (1s)
demo-api › Environment: darwin, node 16.13.1, framework 3.19.0 (local), plugin 6.2.2, SDK 4.3.2
demo-api › Credentials: Local, "default" profile
demo-api › Docs:        docs.serverless.com
demo-api › Support:     forum.serverless.com
demo-api › Bugs:        github.com/serverless/serverless/issues
demo-api › Error:
demo-api › Error: ENOENT: no such file or directory, stat '/***/compose-website-example/fullstack-app/api/node_modules'

Both sls offline and sls deploy are working fine if I take the serverless-plugin-typescript out