After working two weeks solid on a project using Lion Suede, I can now make a more detailed review. The rugburn feeling was indeed caused by over-knitting, I got the same feeling from my trusted Wool-Ease as well.
What I did notice about Suede is that it's a very "sticky" yarn; that is, it likes to cling to the needles and itself. This is both a blessing and a curse: it's difficult to drop stitches, and if you do, it probably won't unravel too far. On the other hand, it takes a bit of effort to slide stitches up the needle, and if you need to frog it, sometimes it snags and can break.
Another odd quirk about it is that it needs to be held taut in order to keep the stitches neat, otherwise they tend to be a bit saggy. My natural knitting style is fast and loose, so having to concentrate on my tension slowed me down a bit.