I was able to resolve the issue be installing the "Developer Edition" of BW tools from:
SAP Development Tools for Eclipse
and pointing to: https://tools.hana.ondemand.com/kepler for the installation.
The SAP SMP (/service.sap.com/SWDC) version of BW Modeling tools was the same version (1.3.1) but did not have the description (Developer Edition) and a different path (id).