I get this error when I try to connect to a node with kubernetes master running as a container: "PTY allocation request failed on channel 0"

Steps to reproduce:

1. I run a mac with OS X el Captain 10.11.1.

2. download standard centos 7.1 from oxboxes.

3. start in virtualbox 5.0.10. 1 natted interface. 1 port forward from host:2200->guest:22.

4. install docker 1.9.

5. ssh into the centos 6 run the following(as per kubernetes user manual):

6.a docker run --net=host -d gcr.io/google_containers/etcd:2.0.12 /usr/local/bin/etcd --addr=127.0.0.1:4001 --bind-addr=0.0.0.0:4001 --data-dir=/var/etcd/data

6.b docker run --volume=/:/rootfs:ro --volume=/sys:/sys:ro --volume=/dev:/dev --volume=/var/lib/docker/:/var/lib/docker:ro --volume=/var/lib/kubelet/:/var/lib/kubelet:rw --volume=/var/run:/var/run:rw --net=host --pid=host --privileged=true -d gcr.io/google_containers/hyperkube:v1.0.1 /hyperkube kubelet --containerized --hostname-override="127.0.0.1" --address="0.0.0.0" --api-servers=http://localhost:8080 --config=/etc/kubernetes/manifests

6.c docker run -d --net=host --privileged gcr.io/google_containers/hyperkube:v1.0.1 /hyperkube proxy --master=http://127.0.0.1:8080 --v=2

7. ssh into the centos again, you'll get the following error: "PTY allocation request failed on channel 0"

I'm opening this issue in kubernetes because otherwise the above configuration seems to be working fine. Only when I start kubernetes the issue shows up.

Thanks Raffaele