"The app could not be installed as a local app as it has previously been installed from Atlassian Marketplace" for marketplace install

I’m trying to update one of our app staging environments on my personal Confluence instance. The app is a private app in marketplace that we install using the private listing tokens.

This instance has never had a local app installed always private marketplace apps. Now it seems like I can’t update the app anymore getting the infamous The app could not be installed as a local app as it has previously been installed from Atlassian Marketplace.

Is this an error in the UPM or a change? My reading of Change notice - Changes to installation of a local app on Atlassian Cloud products is that only installs from non marketplace sources will be prevented, not private marketplace token installs.

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We get the exact same error message, @shannon could you find a solution for this problem?