I know this is an old post and that it wants an answer for .NET 1.1 but there's already a very good answer for that. I thought it would be good to have an answer for those people who land on this post that may have a more recent version of the .Net framework, such as myself when I went looking for an answer to the same question.
In those cases there is an even simpler way to write the contents of a StringBuilder to a text file. It can be done with one line of code. It may not be the most efficient but that wasn't really the question now was it.
System.IO.File.WriteAllText(@"C:\MyDir\MyNewTextFile.txt",sbMyStringBuilder.ToString());