Excel 2016 Default save location gives error

Overview:

You have Excel 2016 and try to change the default save location to a SharePoint location and get error:

“Cannot access directory ‘http://myserver/mydoclib’

The setting is on the Excel Options Window, Save section, “Default local file location:”  (see picture below)

Cause:

For some unknown reason, some Office 2016 installs fail to create a needed directory.

Workaround:

Add this directory to the systems experiencing the problem:

C:\Users\<userid>\AppData\Roaming\Microsoft\Excel\URL\

For example:

C:\Users\warren\AppData\Roaming\Microsoft\Excel\URL\