The problem is not really obvious as it might seem. Once you get the version of the project from the Team Foundatin Server to a specific folder on your local machine, you cannot easily change the working folder of the project. In the Visual Source Safe it’s easy to define the working folder in the VSS Client. But in the Team Explorer (a Visual Studion tool to access the Team Foundation Server) this functionality is a bit hidden.

In order to change the working folder, select the ‘Manage Worspaces‘ dialog (File > Source Control > Worspaces…) and select your Workspace. Then click ‘Edit…‘ button to display ‘Edit Workspace‘ dialog. In the ‘Working folders’ list at the bottom of the dialog select your project and change the ‘Local Folder‘ field.