Referencing Dynamics Assemblies with Azure Function Apps v.2

Just stumbled upon a new  Azure environment, where Azure Function Apps have been upgraded to version 2.
Right away, noticed that my Azure Function code referencing Dynamics assemblies does not compile, complaining about

The type or namespace name ‘Xrm’ does not exist in the namespace ‘Microsoft’ (are you missing an assembly reference?)

After digging around, I found out that the project.json is not longer valid with v.2.
Instead, the function.proj file must be created and reference Dynamics assemblies in the following manner:

<Project Sdk=”Microsoft.NET.Sdk”>

  <PropertyGroup>

    <TargetFramework>461</TargetFramework>

  </PropertyGroup>

  <ItemGroup>

    <PackageReference Include=”Microsoft.CrmSdk.CoreAssemblies” Version=”9.0.0.7″/>

    <PackageReference Include=”Microsoft.CrmSdk.XrmTooling.CoreAssembly” Version=”9.0.0.7″/>

  </ItemGroup>

</Project>

Instead, the function.proj file must be created and reference Dynamics assemblies in the following manner

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