Could not start a new session. Response code 400. Message: Bad capabilities. appium 8.3.0

Description

Starting winapp driver session fails after we upgraded Selenium to 4.8.1 and appium to 8.3.0. I am trying to launch windows desktop application.
I followed documentation: appium migrate 7 -> 8

public void winAppInitialization() {
	if (winAppSession != null && winAppSession.getSessionId() != null) {
		return;
	}
	try {
		BaseOptions capabilities = new BaseOptions();
		capabilities.setCapability("app", appLocation);

		AppiumServiceBuilder serviceBuilder = new AppiumServiceBuilder();
		serviceBuilder.withCapabilities(capabilities).usingAnyFreePort().withTimeout(Duration.ofSeconds(10));
		AppiumDriverLocalService appiumDriverLocalService = AppiumDriverLocalService.buildService(serviceBuilder);

		appiumDriverLocalService.start();

		WindowsDriver driver = new WindowsDriver(new URL("http://localhost:" + appiumDriverLocalService.getUrl().getPort() + "/wd/hub"), capabilities);
		driver.manage().timeouts().implicitlyWait(Duration.ofSeconds(10));

	} catch (Exception e) {
		throw new InitializationException("Error at initializing win app driver, win driver location: "
				+ winDriverURL + " and app location: " + appLocation);
	}
}

Error

org.openqa.selenium.SessionNotCreatedException: Could not start a new session. Response code 400. Message: Bad capabilities. Specify either app or appTopLevelWindow to create a session Build info: version: '4.8.1', revision: '8ebccac989' System info: os.name: 'Windows 10', os.arch: 'amd64', os.version: '10.0', java.version: '1.8.0_391' Driver info: io.appium.java_client.windows.WindowsDriver Command: [null, newSession {capabilities=[{platformName=WINDOWS, appium:deviceName=WindowsPC, appium:automationName=Windows, appium:app=C:\Program Files (x86)\Trizetto\Facets\System\Bin\ceraexe0.exe}], desiredCapabilities=Capabilities {appium:app: C:\Program Files (x86)\Triz..., appium:automationName: Windows, appium:deviceName: WindowsPC, platformName: WINDOWS}}] Capabilities {appium:app: C:\Program Files (x86)\Triz..., appium:automationName: Windows, appium:deviceName: WindowsPC, platformName: WINDOWS}

Start with the winAppInitialization method and the Appium 7-to-8 migration guide linked in the report. Compare the capabilities passed to WindowsDriver with the capabilities shown in the 400 response, then verify the result by attempting to create a Windows desktop session with the configured app path.