Project cannot be built because of .git subdirectory inside Katalon project directory

We’re pulling shared keywords from a local git repository into an subdirectory of our Katalon project (which is also stored in Gitlab).

It seems like Katalon has problems with this .git directory inside the project because it cannot built the project and results in this error message:

"The project was not built due to “Folder contains an active Git repository”

I also experience the same issue… anything on this?