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The installation of Android SDKs fails when performed during the Visual Studio install.
Windows 10 Enterprise
Freshly-installed Windows 10. No previous VS or Xamarin installation.
I've also seen this happen three separate times on Windows 10 installed on three separate virtual machines.
The android SDK location not being set properly by the Visual Studio installer.
Use the Xamarin universal installer.
Set the ANDROID_SDK_HOME system variable in Windows to the sdk folder, restart, then use Modify feature of Visual Studio to re-try installation.
Please report this issue to the Visual Studio connect site at https://connect.microsoft.com, since it's external to Xamarin.
Direct product link: https://connect.microsoft.com/VisualStudio