This is because the output of the candle.exe -? command is no longer match the Ant Targets -check-WiX-presence
<target name="-check-WiX-presence" depends="-check-native-bundling-type" if="need.WiX.presence">
<local name="exec-output"/>
<local name="exec-error"/>
<local name="exec-result"/>
<exec executable="candle" outputproperty="exec-output" failifexecutionfails="false" errorproperty="exec-error" resultproperty="exec-result">
<arg value="-?"/>
</exec>
<echo message="exec-output:${exec-output}" level="verbose"/>
<echo message="exec-error:${exec-error}" level="verbose"/>
<echo message="exec-result:${exec-result}" level="verbose"/>
<condition property="missing.WiX">
<not><and>
<contains string="${exec-output}" substring="Windows Installer Xml Compiler"/>
<not><contains string="${exec-output}" substring="Windows Installer Xml Compiler version 1"/></not>
<not><contains string="${exec-output}" substring="Windows Installer Xml Compiler version 2"/></not>
</and></not>
</condition>
</target>
This is what WiX 3.8 output:
Windows Installer XML Toolset Compiler version 3.8.1128.0
Copyright (c) Outercurve Foundation. All rights reserved.
So fixing the condition to
<contains string="${exec-output}" substring="Windows Installer XML Toolset Compiler"/>
in build-native.xml will fix the problem.