Just a quick heads up for Microsoft support:
Refer to premier ticket # 120011026000669 for details.
This issue has been duplicated by one of your Microsoft support engineers in his testing environment. So it's not like something we did in a wrong way. He advised me to ask help in this community as relevant team may notice this and get it solved quickly.
If you used to successfully create the app before, delete it and try to recreate, then BINGO!