Comment #46 on issue 13044 by LeiraHua: Extensions fail to install if the  
temp directory is under an NTFS junction
http://code.google.com/p/chromium/issues/detail?id=13044

Exactly same issue here. I'm using Chrome 4.4.0.249.25 in windows 7 x86,  
mapped
%User% directory from C:\ to D:\, extension installing stuck on "Loading".  
Never
tried resetting %TEMP%, not the way I like to do, maybe I will just wait  
for the fix
in future release.

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