Solution
Note: In order to have access to build an executable, you need to either have LabVIEW Professional or LabVIEW Application Builder Module licensed.
If you are selecting Build Application (EXE) from VI... under the Tools tab in Project Explorer, you must select the VI first as shown in the image below. Once you select the VI you are trying to build, the Build Application (EXE) from VI.. should be selectable under the Tools tab.
Additionally, you can access this selection by right-clicking Build Specifications in the Project Explorer as shown below.