The same problem can be reproduced with RHEL-8.6 edge installer.

+++ This bug was initially created as a clone of Bug #2125542 +++

Description of problem:
Using Image Builder I've created an edge installer. When I try to create a custom data partion (/data) I get the error during the installation progress "The following error occurred while installing the payload. This a fatal error and installation will be aborted. The command 'mount --bind /mnt/sysimage/data /mnt/sysroot/data' exited with the code 32.

I've seen that if I create the data directory in a separate console under /mnt/sysimage and then making again mount --rbind /mnt/sysimage /mnt/sysroot the directory is properly created.

Version-Release number of selected component (if applicable):

• RHEL 9
• anaconda 34.25.0.29
• composer-cli v35.5
• API server status:
  Database version: 0
  Database supported: true
  Schema version: 0
  API version: 1
  Backend: osbuild-composer
  Build: NEVRA:osbuild-composer-46.3-1.el9_0.x86_64

How reproducible: everytime

Steps to Reproduce:
1. Select Installation Destination
2. Select Storage Configuration as Custom
3. Add a new mount point with Mount Point "/data" and Desiderd Capacity: 2 GiB
4. Accept changes
5. Begin installation

Actual results:
Installation reports "The following error occurred while installing the payload. This a fatal error and installation will be aborted. The command 'mount --bind /mnt/sysimage/data /mnt/sysroot/data' exited with the code 32."

Expected results:
Installation complete with success.