SQL Server – Error While Creating Stored Procedure

You need to perform the update in dynamic SQL too (or just create the table with all columns in the first place). The error is happening because the update with the new column is being parsed before the dynamic SQL has run.

As an aside, you are probably only getting this error if you try to execute the stored procedure and choose 'Display estimated execution plan' in the toolbar. This is a parsing/binding error that will happen in many scenarios when generating an estimated plan involving #temp tables, but shouldn't happen during normal execution.

So to avoid the error during retrieval of an estimated plan, put any "new" column references in separate dynamic SQL blocks. But to really avoid the problem: stop retrieving estimated execution plans. They're pretty worthless anyway.

In Object Explorer, drill down to your database, and then to Tables.

Right-click Tables and click Refresh.

If your newly created tables do not show up, perhaps you created the tables under a different database by mistake. This might happen if you were missing a USE YourDatabase in which case they would likely end up in the default database for your login (often master)

Also, the following will show all of the tables in a database. Run it for your database. If they do not show up, SQL Server did not create the tables (at all/in the desired location).

use [YOUR_DATABASE] 
GO 
select * from sys.tables 
GO