I tried some steps and the following fixed it for me.
1. Remove data node from manager inventory and run the application setup from the data node. The application setup ran successfully, but I noticed that the manager IP was prepopulated, i did not get prompted to accept the manager certificate or provide the manager credentials.
2. Logged into the manager and checked inventory and the Data node was not listed. However, the manager was going through some config changes. I allowed that to complete, with all appliances having connected as status.
3. Logged into the Data node and again the application setup started. This time i had to enter the manager IP address, save it, accept manager certificate prompt and enter manager credentials. The process completed sucessfully.
4. Looked in the manager inventory and the data node is listed and initializing, the manager is also undergoing some configuration changes. Manager completes changes and now connected, data node still initializing and then connects. I check the data store and database and data node status are both Up.
Not sure if this is the right way to go about fixing this issue, but glad i was able to and move on with my deployment. Hopefully this helps someone