A solution that is not related to using the Visual Studio IDE (for example, build servers) is to import the following key into the registry after installing the JDK version 1.8.0_101:
Windows Registry Editor Version 5.00 [HKEY_CURRENT_USER\SOFTWARE\Novell\Mono for Android] "JavaSdkDirectory"="C:\\Program Files (x86)\\Java\\jdk1.8.0_101"
Remember to clean / update the sdks.cache files in the obj directories [Release | Debug] to reference the correct version of jdk.
For reference, here is a complete list of the paths used by Mono for Android:
Windows Registry Editor Version 5.00 [HKEY_CURRENT_USER\SOFTWARE\Novell\Mono for Android] "AndroidNdkDirectory"="C:\\ProgramData\\Microsoft\\AndroidNDK\\android-ndk-r11c" "AndroidSdkDirectory"="C:\\Program Files (x86)\\Android\\android-sdk" "JavaSdkDirectory"="C:\\Program Files (x86)\\Java\\jdk1.8.0_101"
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