esp8266 v2.7.1 on osx python3 not found, tried all earlier proposals

Using: Arduino ide 1.8.9
Python 3.8.2

Installed esp8266 via board manager resulted in this error:

/Users/kpk/Documents/Arduino/hardware/esp8266com/esp8266/tools/python3/python3 /Users/kpk/Documents/Arduino/hardware/esp8266com/esp8266/tools/makecorever.py --build_path /var/folders/dv/t8c6t5pn3_x7k3wfbl2lbgsh0000gn/T/arduino_build_421083 --platform_path /Users/kpk/Documents/Arduino/hardware/esp8266com/esp8266 --version unix-3.0.0-dev
env: python3: No such file or directory
exit status 127
Error compiling for board NodeMCU 1.0 (ESP-12E Module).

Then I tried the route removing the Arduino15 folder and the do a git clone install as descibed on the github page. Followed the whole procedure.
This was not working: in that installation the esp8266 libaries are not found.

So I reverted to an installation of the 2.5.2 version using the board manager to have a working starting point. That is working ok.
Then upgraded the library to 2.7.1 and as aspected the python3 error was back.

I tried extensively to get my Python working. Uninstalled all previous homebrew installed versions of Python, checked all user environment files, cleared all caches and did a fresh reinstall of Python 3.8 using homebrew.
I am sure the correct python is in my PATH:
python --version results in:

Python 3.8.2 (v3.8.2:7b3ab5921f, Feb 24 2020, 17:52:18) 
[Clang 6.0 (clang-600.0.57)] on darwin

I get the same result when using env:
/usr/bin/env python → results in an 3.8.2 python prompt
/usr/bin/env python3 → results in an 3.8.2 python prompt

I then replaced the python folder under /Users/kpk/Library/Arduino15/packages/esp8266/tools with symlink to my python 3.8 library.

Now the error message: env: python3: No such file or directory changed to:
fork/exec {runtime.tools.python3.path}/python3: no such file or directory
Error compiling for board NodeMCU 1.0 (ESP-12E Module).

More detailed output of the compiler:

Generating function prototypes...
/Users/kpk/Library/Arduino15/packages/esp8266/tools/xtensa-lx106-elf-gcc/2.5.0-4-b40a506/bin/xtensa-lx106-elf-g++ -D__ets__ -DICACHE_FLASH -U__STRICT_ANSI__ -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/tools/sdk/include -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/tools/sdk/lwip2/include -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/tools/sdk/libc/xtensa-lx106-elf/include -I/var/folders/dv/t8c6t5pn3_x7k3wfbl2lbgsh0000gn/T/arduino_build_567661/core -c -w -Os -g -mlongcalls -mtext-section-literals -fno-rtti -falign-functions=4 -std=gnu++11 -ffunction-sections -fdata-sections -fno-exceptions -w -x c++ -E -CC -DNONOSDK22x_190703=1 -DF_CPU=80000000L -DLWIP_OPEN_SRC -DTCP_MSS=536 -DLWIP_FEATURES=1 -DLWIP_IPV6=0 -DARDUINO=10809 -DARDUINO_ESP8266_NODEMCU -DARDUINO_ARCH_ESP8266 "-DARDUINO_BOARD=\"ESP8266_NODEMCU\"" -DLED_BUILTIN=2 -DFLASHMODE_DIO -DESP8266 -DDONT_USE_UPLOADTOBLOB -DUSE_BALTIMORE_CERT -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/cores/esp8266 -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/variants/nodemcu -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/ESP8266WiFi/src -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/ESP8266WebServer/src -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/ESP8266mDNS/src -I/Users/kpk/Documents/Arduino/libraries/WiFiManager -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/DNSServer/src -I/Users/kpk/Documents/Arduino/libraries/NTPClient -I/Users/kpk/Documents/Arduino/libraries/Time -I/Users/kpk/Documents/Arduino/libraries/Timezone/src -I/Users/kpk/Documents/Arduino/libraries/U8g2/src -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/ArduinoOTA -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/SPI -I/Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/Wire /var/folders/dv/t8c6t5pn3_x7k3wfbl2lbgsh0000gn/T/arduino_build_567661/sketch/esp8266-ntp-ssd1306-wifimaster-button-ota.ino.cpp -o /var/folders/dv/t8c6t5pn3_x7k3wfbl2lbgsh0000gn/T/arduino_build_567661/preproc/ctags_target_for_gcc_minus_e.cpp
/Applications/Arduino.app/Contents/Java/tools-builder/ctags/5.8-arduino11/ctags -u --language-force=c++ -f - --c++-kinds=svpf --fields=KSTtzns --line-directives /var/folders/dv/t8c6t5pn3_x7k3wfbl2lbgsh0000gn/T/arduino_build_567661/preproc/ctags_target_for_gcc_minus_e.cpp
Compiling sketch...
{runtime.tools.python3.path}/python3 /Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/tools/signing.py --mode header --publickey /Users/kpk/Documents/Arduino/esp8266-ntp-ssd1306-wifimaster-button-ota/public.key --out /var/folders/dv/t8c6t5pn3_x7k3wfbl2lbgsh0000gn/T/arduino_build_567661/core/Updater_Signing.h
Using library ESP8266WiFi at version 1.0 in folder: /Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/ESP8266WiFi 
Using library ESP8266WebServer at version 1.0 in folder: /Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/ESP8266WebServer 
Using library ESP8266mDNS at version 1.2 in folder: /Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/ESP8266mDNS 
Using library WiFiManager at version 0.15.0 in folder: /Users/kpk/Documents/Arduino/libraries/WiFiManager 
Using library DNSServer at version 1.1.1 in folder: /Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/DNSServer 
Using library NTPClient at version 3.2.0 in folder: /Users/kpk/Documents/Arduino/libraries/NTPClient 
Using library Time at version 1.6 in folder: /Users/kpk/Documents/Arduino/libraries/Time 
Using library Timezone at version 1.2.4 in folder: /Users/kpk/Documents/Arduino/libraries/Timezone 
Using library U8g2 at version 2.27.6 in folder: /Users/kpk/Documents/Arduino/libraries/U8g2 
Using library ArduinoOTA at version 1.0 in folder: /Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/ArduinoOTA 
Using library SPI at version 1.0 in folder: /Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/SPI 
Using library Wire at version 1.0 in folder: /Users/kpk/Library/Arduino15/packages/esp8266/hardware/esp8266/2.7.1/libraries/Wire 
fork/exec {runtime.tools.python3.path}/python3: no such file or directory
Error compiling for board NodeMCU 1.0 (ESP-12E Module).

I am a bit lost on this, any thoughts how to get this working?

Apparently a known issue with a symlink:

https://www.esp8266.com/viewtopic.php?f=8&t=20561