From the screenshot it looks like your host actually is installed and throws the message after the post-install reboot.
You should be able to press F2, configure the management network and proceed with the KB steps.
What looks a bit suspicious in the screenshot is the fact that it doesn't show the default management IP (should be DHCP).
Do you have a supported NIC in your server?
Also, since you're considering using local disks for scratch partition, why not installing the ESXi on local HDDs? Then the scratch partition is created automatically during install.