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How do I create a local repository, since online docs do not match my ST app?

I have version 2.6 of ST and am successfully connected to bitbucket.  I am attempting to create a new local repository by selecting new in ST followed by Create Local Repository.

I select the path (CodeRepos) that currently holds 3 other repositories.  In the name field I enter the name of the new folder I want created within CodeRepos.

I get an error saying repository already exists.  The repository does NOT exist locally or in bitbucket.

I simply want to create a local repository of some existing code and also create a remote repistory and cannot seem to do so any longer, since it has been over a year since I last created one.  Please help.

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