409 The specified container already exists after switching to Netherite (JavaScript)

[danyltsiv]

Hi guys! Hope you are doing fine!

Latest versions of assets at the moment of creating the issue:
Runtime: JavaScript (compiled from TypeScript)
Core Tools Version: 4.0.5148 Commit hash: N/A (64-bit)
Function Runtime Version: 4.17.3.20392
"durable-functions": "^2.1.2",
"@azure/functions": "^3.5.1",
"@azure/storage-blob": "^12.14.0",
Latest Azurite: 3.23.0

Switched to Netherite locally with connections to Azure Event Hubs, AzureWebJobsStorage: "UseDevelopmentStorage=true"
and started observing a lot of:
409 The specified container already exists

Does anyone have some idea of what the root cause could be?
Let me know if I can provide more info.
Thanks in advance!