I encourage you to delete the project you previously created as it has wrong settings in it. Also, This bug was only for Blank Cordova template with App Designer, this bug might re-appear if you are working in off-line mode. In that case, please use this workaround:
1. Create a Blank Standard HTML5 app with App Designer
2. Upgrade the Project to Cordova using the Cordova icon on the Projects tab.