@DeathByVisualStudio: The bottom line is that you can't approach WPF apps the same way as Winforms apps. Throw out your Winforms experience and gain a firm understanding of MVVM (Josh Smith's demo app is a great example to play with). Developing in WPF without MVVM gets really confusing really quick.
Would I upgrade an existing WinForms app to WPF? No. It would mean a major rewrite of all of the UI pieces. But I would definitely start all new projects in WPF.
I develop in WPF faster than I do in Winforms. Throwing together a nice looking interface is easy, and this is with me typing in XAML.
used to be done with a small team requires dedicated, siloed staff -- a UI/Blend guy, a TFS guy, a VSTSDB guy, an architect, and a crap load of really good code monkeys to do anything more than a demo app with Northwind.
And today's apps are a lot more complex than apps 10 years ago. Times change.