leapp preupgrade fails on system registered with Red Hat CDN with "Message: Unable to install RHEL 8 userspace packages."

Issue

• Upgrading RHEL-7.9 registered with Red Hat CDN to RHEL 8.8 0r RHEL 8.10 using leapp fails with the below error.

  Message: Unable to install RHEL 8 userspace packages.
  Summary:
     Details: Command ['systemd-nspawn', '--register=no', '--quiet', '-D', '/var/lib/leapp/scratch/mounts/root_/system_overlay', '--setenv=LEAPP_UPGRADE_PATH_TARGET_RELEASE=8.8', '--setenv=LEAPP_NO_RHSM=0', '--setenv=LEAPP_EXPERIMENTAL=0', '--setenv=LEAPP_UPGRADE_PATH_FLAVOUR=default', '--setenv=LEAPP_COMMON_TOOLS=:/etc/leapp/repos.d/system_upgrade/el7toel8/tools', '--setenv=LEAPP_COMMON_FILES=:/etc/leapp/repos.d/system_upgrade/common/files:/etc/leapp/repos.d/system_upgrade/el7toel8/files', '--setenv=LEAPP_IPU_IN_PROGRESS=7to8', '--setenv=LEAPP_UNSUPPORTED=0', '--setenv=LEAPP_EXECUTION_ID=c70a943b-333a-452c-85a1-3a633bd6514c', '--setenv=LEAPP_HOSTNAME=$EXAMPLE_HOSTNAME', 'dnf', 'install', '-y', '--nogpgcheck', '--setopt=module_platform_id=platform:el8', '--setopt=keepcache=1', '--releasever', u'8.6', '--installroot', '/el8target', '--disablerepo', '*', '--enablerepo', u'rhel-8-for-x86_64-baseos-rpms', '--enablerepo', u'rhel-8-for-x86_64-appstream-rpms', 'dnf', 'dnf-command(config-manager)'] failed with exit code 1.
  Stderr: Failed to create directory /var/lib/leapp/scratch/mounts/root_/system_overlay//sys/fs/selinux: Read-only file system
             Failed to create directory /var/lib/leapp/scratch/mounts/root_/system_overlay//sys/fs/selinux: Read-only file system
             Host and machine ids are equal (f462e1d352fd42739bea16c0ed67b21e): refusing to link journals
             Failed to synchronize cache for repo 'rhel-8-for-x86_64-baseos-rpms', ignoring this repo.
             Failed to synchronize cache for repo 'rhel-8-for-x86_64-appstream-rpms', ignoring this repo.
             Error: Unable to find a match: dnf dnf-command(config-manager)