I am using the latest version of PSoC Creator i.e. PSoC Creator 4.3 at my side. I am not able to see any issue during build process. The build is successful with your schematic. Please check the attached project at your side too.
Design01.cyprj.Archive01.zip 2.0 MB
With your help I found the cause of this error message: the long path to the project folder location.
Thank you for your time and help,